APPENDIX A -- Personnel Administration

TABLE OF CONTENTS

PREAMBLE

Introduction

Appendix A of the contracts between The Regents of the University of California and the United States of America establishes a framework for the University's management of personnel administration at the Laboratories.

Laboratory employees are covered by University of California personnel policies or approved modifications thereof. Appendix A specifies allowable costs associated with those policies and related personnel expenses.

Compensation Philosophy

Section III, Pay Policies, of Appendix A describes components of Laboratory compensation programs including job evaluation, salary administration, the salary increase authorization process, and the Laboratory Executive Program. The University intends that Laboratory compensation policies and practices flow from University compensation philosophy and sound business practices.

Consistent with compensation philosophy for the University of California, the Laboratories have adopted the following objectives for their compensation programs:

• To provide a level of compensation which, within available funds, attracts, motivates, and retains a quality work force which is necessary for the achievement of Laboratory goals.

• To recognize and reward performance and productivity while maintaining a competitive market position.

• To provide internal equity within the Laboratory.

Compensation Standards

To achieve these objectives, the University will ensure that Laboratory compensation systems include the following elements:

• A written compensation philosophy which emphasizes equity, competitiveness, cost effectiveness, and performance.

• A current job description system for all positions in accordance with the University's job classification standards.

• A job evaluation system which describes and assesses the internal value of job classifications and places them in a structure appropriate to the occupational group.

• Pay rates and pay structures for all employees based on recruitment and retention practices in competitive and relevant markets.

• Performance evaluations completed annually for each employee, based on pre-established performance criteria.

• Pay for each employee based on performance, qualifications, experience, and competitive market practices.

• Level of individual pay increases based on documented performance evaluation.

• Health, Welfare, and Retirement systems which are evaluated on a cost-benefit basis, including relevant market considerations, and are taken into account in establishing total compensation.

Performance Measures and Contract Compliance

The performance measures for human resources described in Appendix F of the Contract are designed to determine whether the above standards have been met. The University will assess whether the Laboratories are in compliance with Appendix A by measuring Laboratory compensation programs and other aspects of human resources administration against these standards. The University's assessment that Laboratory compensation systems meet the above standards, as provided for in the performance measures for human resources, is recognized by the Department of Energy (DOE) as being independent of any requirement for DOE certification of Laboratory compensation systems. It is further agreed by the Department of Energy that DOE certification of Laboratory compensation systems is not a requirement for performance of work under this contract.

APPENDIX A -- Personnel Administration
Contract No. DE-AC03-76SF00098

I. INTRODUCTION

The Laboratory and the University shall be responsible for developing and maintaining standards of employee conduct which shall be in accord with University policies regarding conduct of employees and consultants. Such University policies embody the standards noted in alternate paragraph (c) of Section 970.5204.12 (48 CFR Ch. 9). The University shall provide to the Department of Energy its current policies on standards of employee conduct and subsequent revisions.

The Director or a designated representative is empowered to make exceptions to the provisions of Appendix A in individual instances when such exceptions are in the best interest of contract operations and are approved by the University and DOE.

The University and the Department of Energy shall appoint senior-level representatives to a joint University/ Laboratory/DOE Planning and Review Group, which shall meet on a regular basis for consultation on issues of mutual interest.

II. DEFINITIONS

The term "Contracting Officer" means a person with the authority to enter into, administer, and/or terminate this contract and make related determinations and findings. The term includes certain authorized representatives of the Contracting Officer acting within the limits of their authority as delegated by the Contracting Officer.

The term "University" shall mean The Regents of the University of California.

The term "Laboratory" shall mean the Los Alamos National Laboratory (LANL) for Appendix A to Contract No. W-7405-ENG-36, the Lawrence Livermore National Laboratory (LLNL) for Appendix A to Contract No. W-7405-ENG-48, or the Lawrence Berkeley Laboratory (LBL) for Appendix A to Contract No. DE-AC03-76SF00098, which is operated by the University of California.

The term "DOE" means the Department of Energy, the Secretary of Energy, or any duly authorized representative of the Secretary, including the Contracting Officer.

The term "Director" shall mean the Director of the Laboratory, or an Acting Director, or a designated representative.

III. PAY POLICIES

A. GENERAL PROVISIONS

The objective of the compensation administration program is to provide a level of compensation which, within available funds, attracts, motivates and retains a quality work force which is necessary for the achievement of Laboratory goals. The compensation program shall recognize and reward performance and productivity while maintaining a competitive market position and to provide internal equity within the Laboratory.

In establishing or modifying compensation levels, the Laboratory will be guided by such considerations as:

1.The Laboratory generally recruits in the local/regional labor market area for its nonexempt personnel and in the regional and national labor market for its exempt personnel. Compensation practices will be commensurate, equitable, and competitive with comparable positions in relevant Laboratory market comparators.

2. The impact of recruitment and retention problems within occupational groups.

3. The internal relationships within/between occupational groups.

4. Funding limitations.

5. The impact on occupational groups dominated by women and/or minorities.

B. JOB EVALUATION PROCESS

Job classifications shall be described, assessed and placed in a structure appropriate to the occupational group. Classification descriptions and information regarding the type of job evaluation system used shall be made available for Contracting Officer review upon request. The University will discuss the establishment of new classifications with the Contracting Officer prior to implementation.

C. SALARY ADMINISTRATION

1.Range Minimum and Maximum Rates. Prior to the implementation of salary ranges for new classifications and/or increases to existing salary ranges, the University shall consult with the Contracting Officer Salary ranges are based on "prevailing" rates gathered from surveys of comparable jobs in the appropriate market area and internal equity considerations. Salary grade ranges are adjusted periodically to reflect the movement of salaries for comparable positions at other organizations in the public and private sector and to maintain appropriate relationships with other salaries within the Laboratory.

2.Salaries Above and Below the Salary Range. An employee is paid within the salary range for his/her classification. Exceptions to this provision shall require University approval. Exceptions shall be reported annually to the Contracting Officer

3.Hiring Rates. A new employee will normally be hired at a basic salary appropriate to the level of assigned duties and commensurate with training, experience, competitive salary requirements, and internal equity. Individual starting salaries may vary at the discretion of the Laboratory. For classified structures, the starting salary shall normally not exceed the midpoint of the salary range to which the position has been assigned. Exceptions to this provision shall be governed by University policy and shall be reported annually to the Contracting Officer

4.Salary Increases. Any combination of salary increases for an individual in a single fiscal year, including merit increases and those resulting from reclassification and promotion, which result in a salary that is 25% greater than the employee's salary prior to the increase shall require prior University approval. Salary increases that exceed 15% shall be reported annually to the Contracting Officer

5.Promotions. The Laboratory shall promote employees from one level to another as warranted and may grant a salary increase to accompany the promotion. The salary increase accompanying a promotion shall be based upon merit and internal alignment. For purposes of applying this provision, a promotion is defined as the reassignment or reclassification of an employee to a classification having a higher maximum salary.

Annual promotional funding shall be included in the Salary Increase Authorization (SIA) request as a discrete line item. The request for promotional funding will be based upon actual use for the prior year and anticipated future use, such as classification restructuring.

6.Step Increases. For the LLNL Appendix A only: Step increases which are part of the normal salary progression in the 0600, 0700, 0800 and 0900 series shall not be charged to the SIA. The salaries of employees in the step increase portion of their level shall not be used for purposes of SIA computation. When the basic salary associated with an employee's level and step is revised, the employee may receive a salary increase sufficient to adjust the employee's basic salary to the new basic salary for that level and step.

7.Salary Approvals. Salaries of current employees and new hires at or above $80,000 during the first year of the contract shall require Contracting Officer approval, except those salaries of Executive Program members other than the Director, as cited in Section F. of this Appendix, and those salaries of joint Laboratory-faculty appointees. Consistent with the University's implementation of performance measures related to Laboratory compensation systems, as contained in Appendix F of this contract, it is the intent of the parties that following the first and second years of the contract, this approval threshold shall be increased to $100,000, and $115,000, respectively. It is the further intent of the parties that, in the third and fourth years of the contract, the approval threshold shall coincide with the then applicable Regental threshold, and that prior to conclusion of the fifth year of this contract, the requirement for DOE salary approval be limited to the Laboratory Director position as provided in Section III.F.3 of this Appendix.

Salaries above $80,000 but below the approval threshold shall be reported annually to the Contracting Officer Salaries above the Regental threshold shall require Regental approval and shall be reported to the Contracting Officer

D. SALARY INCREASE AUTHORIZATION

1.Goals

a. It is the intent of the University, the Laboratory, and the Contracting Officer that the annual Salary Increase Authorization (SIA) enable the Laboratory to pay market rates for similar work to maintain a competitive position.

b. The Laboratory shall manage salaries in a fiscally prudent manner and award merit increases in each of the Laboratory's job series merit programs on the basis of the overall value of the employee's contributions.

2.Components and Process

a. Annually, the University shall submit the Laboratory's SIA proposal to the Contracting Officer for the succeeding fiscal year. The proposal shall include data from the survey designated by the DOE.

b. The University shall submit the salary increase authorization proposal ninety (90) days prior to the beginning of the succeeding fiscal year.

c. In order to pay "on-market-on-average," in the calculation of market position, the Laboratory salary data shall be matched to survey data as of April 1, the midpoint of the fiscal year.

d. The Laboratory shall include in its SIA proposal the following supporting information: cost-to-market analysis, market growth projections, and survey analyses including: data from the DOE-designated survey source; such other survey data that the University deems appropriate; and information regarding recruitment and retention needs, employee and labor relations issues, internal alignment, and relevant management concerns.

e. The Contracting Officer shall take the information referenced in III.D..2.d., above, into account in its action on the SIA proposal.

f. Provided a complete SIA, as defined herein, is received, the Contracting Officer shall communicate a single salary increase authorization within sixty (60) days prior to the end of the current fiscal year. The University shall implement the SIA after DOE approval has been granted.

g. The SIA authorization shall be expressed as a percentage of the projected September 30 base payroll.

h. The Laboratory shall endeavor to allocate the approved SIA according to its original submissions and consistent with its market analyses. However, in the event that the DOE approves a lower amount than was requested, a redirection of this allocation may be required to meet critical operational needs. The University shall consult with the DOE prior to implementation when redirection is required.

i. Authorization beyond the original salary authorization may be made by the Contracting Officer

j. Expenditures of the SIA shall be tracked and a report of expenditures shall be prepared for the Contracting Officer annually.

E. PAYMENT OF UNIVERSITY ACADEMIC APPOINTEES

The Laboratory salary rate for University academic appointees shall be in accordance with established University policy as follows:

1.The monthly salary rate for an individual with an eleven-month appointment is one-twelfth of the individual annual campus rate.

2.The monthly salary rate for an individual with a nine-month appointment is one-ninth of the individual's annual rate, except for cases described in #3 below.

3.The salary for an individual with a nine-month appointment as lecturer, who is also employed part-time at the Laboratory, is determined by the following formula:

(nine-month salary X 1.16)/12 = Monthly Salary

4.Fractional month's pay for a joint appointee is based on the fraction of the month shown on the most recent authorization by the human resources organization, e.g., the employment form or Personnel Action Form.

5.University academic appointees who work a full Summer period shall be paid for three months' service rather than under the formula above. The Summer period begins the first working day after the end of the Spring quarter or semester and continues through the last working day before the beginning of the Fall quarter or semester at the faculty member's campus. Should the summer period contain less than 57 working days, the three months' pay shall be reduced on a prorated basis. An individual with a nine-month academic appointment who works the summer period at the Laboratory shall be compensated according to the following schedule:

F. LABORATORY EXECUTIVE PROGRAM

The University's Laboratory Executive Program establishes personnel, compensation and benefit provisions for senior leadership positions.

Salaries, benefits, and perquisites paid in accordance with the Laboratory Executive Program, including the salaries of directors, shall be considered to be allowable costs.

1.Benefits and Perquisites

Benefits and perquisites generally parallel those available to the University Executive Program. The University shall consult the Contracting Officer regarding changes to Laboratory Executive Program benefits and perquisites which generate direct costs to the contract. Those changes which generate direct costs to the contract and which are unique to the Laboratories shall require the concurrence of the Contracting Officer

2.Membership in the Executive Program

The Laboratory Executive Program consists of the following generic positions: directors, deputy directors, and associate directors. Those Laboratory positions currently identified as part of the University Executive Program shall be incorporated into the Laboratory Executive Program. Additional positions may be added to the Program with the concurrence of the Contracting Officer

3.Appointment and Salary Authority

With the concurrence of DOE, the University shall appoint directors and deputy directors. The University shall establish initial compensation and subsequent adjustments for all Executive Program positions, except that compensation of directors shall require DOE concurrence. For Executive Program positions, the University shall propose concurrence, consult with, or report actions to DOE as shown below:

4.Termination

The University retains sole authority to terminate members of the Executive Program from University employment.

5.Executive Compensation

The parties recognize that the following factors are considered in establishing executive compensation:

a .competitive compensation rates for major private and public research and development laboratories

b.recruitment and retention experience

c.internal Laboratory salary alignments

d.Laboratory performance

e.individual performance

6.Annual Executive Program Merit Review

Annually the University shall propose an executive merit pool percentage for each Laboratory based on (1) the cost-to-market percentage for scientists and engineers for each Laboratory, as derived from the scientist and engineer SIA Common Methodology, and (2) additional salary surveys, internal alignment information, recruitment and retention experience, and other relevant market conditions. The University shall provide to DOE comparison compensation survey results used by the University in proposing compensation levels. In consultation with DOE, the University shall review the performance of each Laboratory against pre-established criteria as contained in Appendix F of this contract. The DOE shall use that review to establish a merit pool percentage for each Laboratory within a range of .75 to 1.5 of the executive merit pool.

7.Annual Merit Increases

The University shall establish annual merit increases for deputy and associate directors within the DOE approved executive merit pool, based on individual performance, as recommended by the Laboratory Director. Merit increases shall be effective October 1. The University shall inform DOE of merit increases granted on an annual basis.

IV. ANCILLARY PAY COMPONENTS

A.MODIFIED WORKWEEK

The Director may designate a workweek of less than five (5) days within a payweek for selected employees, or groups of employees, when warranted. Any such modified workweek shall comprise 40 hours. The Laboratory shall report utilization of modified workweeks for groups of employees to the University. Annual reports of this activity shall be provided to the Contracting Officer

B. OVERTIME

1.The Laboratory shall report annually to the Contracting Officer on overtime expenditures.

2.When deemed essential to the performance of work under this contract, occasional overtime may be authorized by the Laboratory.

3.Extended Workweek

a.An extended workweek is an established workweek which exceeds forty (40) hours each week for a period which it is anticipated will extend beyond four (4) consecutive weeks.

b.When deemed essential to the performance of work under this contract, the Laboratory may establish an extended workweek for the Laboratory or any portion thereof.

4.Operational Workweek [LBL]

a.An "operational workweek" is a workweek established when overtime is required for field or test activities away from regular Laboratory sites. Such workweeks are normally for 54 hours per week, but may be for more.

b.When operational workweeks are scheduled, the Laboratory shall notify DOE about the number of employees and the period of time involved.

5.Computation of Overtime

a.Exempt Employees--
(1)Exempt employees shall not be compensated for occasional overtime.

(2)An exempt employee assigned to an extended workweek or an operational workweek shall be paid straight time for any hours worked in excess of forty (40) hours per week in addition to basic salary up to the maximum hours scheduled in the extended workweek.

b.Nonexempt Employees--

(1)Nonexempt employees (other than Fire Fighters) shall be paid at one and one-half times their straight-time hourly regular rate for all hours worked in excess of forty (40) hours in any one week.

One and one-half times the straight-time hourly rate may be paid for hours worked in excess of a full-time work schedule in any one day when authorized for certain classifications by the University.

Twice the straight-time hourly rate may be paid for each hour worked on the seventh consecutive day worked within a pay week.

The "regular rate" on which overtime pay is calculated shall be determined in accordance with the Fair Labor Standards Act (FLSA).

(2)The following hours shall be considered as hours worked:

(a)Hours actually worked, excluding hours spent in On-Call status under the provision of paragraph IV.E., below.

(b)Hours allowed for compensable holidays, voting time, health checks, blood donations, search and rescue work, Civil Defense training, and Report Pay.

(c)Time spent in actual work-related travel as well as travel time for program and project required travel.

c.Fire Fighter Overtime [LBL/LLNL]

In paying for Fire Fighters' overtime, the Laboratory shall comply with Section 7(k) of the FLSA, as implemented by Chapter 29, Part 553 of the Code of Federal Regulations.

C. SHIFT DIFFERENTIAL

1.Shift Differential [LLNL/LBL]

a.A shift differential shall be paid to each nonexempt employee who is required by management to work an assigned swing or owl shift in the amount of 7.5% for swing shift and 15% for owl shift. During all leaves with pay and holidays, eligible employees are paid at the shift differential rate applicable to the shifts they would otherwise have been scheduled to work. Overtime hours worked by a nonexempt employee on a swing or owl shift are paid at the applicable shift differential rate times one and one-half.

b.Exempt employees are not normally eligible for shift differentials; however, the Director may approve a shift differential for an exempt employee when programmatic requirements necessitate a regular shift assignment for an extended period and no other reasonable option is available.

c.The shift differential shall be included in payments for all types of paid leave, provided that the employee would have been expected to work that shift or shifts were the employee not on paid leave.

2.Shift Differential [LANL]

a.A graded employee who is assigned to a evening shift (normally 4 p.m. - 12 midnight) or a night shift (normally 12 midnight - 8 a.m.) shall receive, in addition to his/her basic hourly rate, or hourly equivalent, a shift premium of 12 percent for evening shift or 15 percent for night shift. The shift premium shall be based on the basic hourly rate, or hourly equivalent, for each hour worked during such scheduled shifts. Where a day shift begins early, or ends late, therefore overlapping either night or evening shifts, the applicable shift premium may be paid for hours worked during the shift only if four (4) or more hours are worked on the shift.

b.A graded employee regularly assigned to work during the sixth or seventh day of the workweek may receive a 5 percent differential for hours worked on those days, in addition to any applicable shift premiums. This 5 percent differential is not applicable to sick leave, vacations, or other authorized paid leaves.

c.Any graded employee who is assigned to a split shift shall be paid, in addition to his/her basic hourly rate or hourly equivalent, a shift premium for each hour worked during the hours of evening shift and night shift at the rate provided for in this Section, Shift Premium, above, except that if the entire shift is scheduled between the hours of 7 a.m. and 6 p.m., no shift premium shall be paid.

d.Any graded employee who is assigned to a rotating shift shall be paid, in addition to his/her basic hourly rate, or hourly equivalent, a shift premium for each hour worked during the hours of evening and night shifts computed at the rate provided for in this Section, Shift Premium.

e.To avoid fluctuations in pay, shift premiums as provided for in this Section may be prorated and paid for each hour scheduled (regular day shift included) if the shift assignment is for a period which extends or is expected to extend beyond eight (8) consecutive weeks.

f.A graded employee shall also be paid the shift premium as provided for in this Section for hours in nonwork pay status if the shift assignment is for a period which extends or is expected to extend beyond eight (8) consecutive weeks.

3.The University shall conduct periodic surveys of shift differential practices to assure that a cost effective and market competitive position is maintained.

D. CALL-IN PAY

Any nonexempt employee called in for emergency work outside of his/her regularly scheduled hours shall be paid at least four (4) hours at his/her straight-time hourly rate or for all hours worked at the applicable overtime rate, whichever is greater.

E. ON-CALL PAY

1.LLNL only: On-call is time during which an employee is not required to be at the work location or at the employee's residence but is required to restrict activities so as to be readily contacted and be available for return to work if called. Employees assigned to on-call duty shall be paid an amount not to exceed 14% of their hourly base rate for each on-call duty hour.

Duty officers are LLNL employees required to remain on site outside of normally scheduled working hours so as to be promptly available. Exempt employees assigned as on-site duty officers shall be paid $115.00 for each 24-hour weekend or holiday shift worked.

2.LBL only: Standby Compensation. Employees assigned to Standby duty shall be paid $90.00 for each 7-day assignment. Employees assigned to standby for weekend or holiday shifts only shall be paid $30.00 for each 24-hour period.

3.LANL only: A graded employee who is specifically designated to be subject to call outside his/her normal hours of work for coverage of emergency type situations is considered to be "on-call." Individuals so designated shall receive pay for each on-call hour or fraction thereof at the rate of $1.15 per hour. On-call pay shall not be paid to nonexempt employees for those hours in pay status in response to the emergency. On-call pay to exempt graded employees shall include hours worked in response to the emergency.

F. REPORT PAY [LANL]

An employee who reports for work in accordance with the usual work schedule, and then is sent home because no work is available, shall be paid at straight-time hourly rate not to exceed four (4) hours, unless he/she was specifically instructed in advance not to report to work. With the approval of the Director, up to 8 hours of Report Pay may be granted.

G. SPECIAL ALLOWANCES

1.Uniform Allowance. An allowance, in accordance with University policy, for the replacement and maintenance of the uniform, shall be paid on July 1 to each permanent incumbent who has completed one year of service in the Police or Protective Services classifications at LLNL/LBL; and who, as certified by the Department Head, wears the prescribed uniform, which is necessary, required, and authorized for official use only. A full-time employee who has completed less than twelve months of service, a full-time employee who has worn a uniform less than full time, and a part-time employee shall receive an allowance prorated on the basis of the percent of time worked in uniform since the previous July 1.

At LBL, an allowance in accordance with University policy shall be provided to employees in the Fire Department. A full-time employee who has completed less than twelve months of service, a full-time employee who has worn a uniform less than full time, and a part-time employee shall receive an allowance prorated on the basis of the percent of time worked in uniform since the previous July 1.

Rather than receiving a reimbursement allowance, permanent, full-time employees in the uniformed Fire Fighter classification series at LLNL shall be furnished uniforms.

Regular full-time, part-time, and casual employees in food and health services at LANL who are required to wear uniforms shall be provided a reasonable allowance to assist in the purchase, laundering, and maintenance of the required uniform. This allowance shall not exceed $150 per year for food service employees or $200 per year for health service employees.

To be eligible for the allowance or allocation, the employee must be required to wear a uniform which is clearly necessary for identification purposes in the regular, full-time performance of duties, and authorized for use in an official capacity only.

2.Isolation Allowance. The Director may designate an isolation allowance to a maximum of 25 percent of the employee's basic salary or monthly equivalent for work performed in remote geographical areas. Extended workweeks for isolation duty posts may be established in accordance with pertinent sections of this Appendix.

3.Dislocation Allowance. Laboratory employees may be assigned to temporary duty at other locations on a change-of-station basis. With the approval of the Director, for relocations that exceed six months, payment of actual and reasonable costs associated with the temporary assignments may be made and shall include an apartment or house rental differential in accord with University guidelines for lodging in the specific city, the shipment of household goods (or storage thereof) per Travel section, and a miscellaneous cost-of-living adjustment based upon accepted industry standards to be paid as a supplement to base salary. The University shall provide a semiannual report to the Contracting Officer of assignments subject to these provisions.

H. NEVADA TEST SITE (NTS) COMPENSATION

1.Permanent Duty Status

a.Employees whose permanent work assignment is at Mercury shall be paid, in addition to their regular pay, a daily allowance of $5 for each day worked at Mercury.

b.Employees whose permanent work assignment is other than Mercury but within NTS shall be paid, in addition to their regular pay, a daily allowance of $7.50 for each day worked at the assigned work place.

c.In addition to the daily allowance prescribed above in this paragraph, an overnight allowance of $5 shall be allowed for each day worked for individuals whose work schedule requires them to remain overnight at NTS.

d.Round-trip travel expenses for spouses whose permanent duty station is NTS may be reimbursed in accordance with the University Travel Policy for attendance at a pre-retirement counseling meeting conducted at the Laboratory.

2.Temporary Duty Status. Employees assigned to duty at the Nevada Test Site on a temporary basis shall be compensated in accordance with the Travel section of this Appendix.

V. RETIREMENT, INSURANCE, AND OTHER BENEFITS

A. RETIREMENT

1.Public Employees' Retirement System (PERS) of California

a.Coverage of employees under PERS shall be in accordance with the California Public Employees' Retirement Law, Government Code Section 20000 et.seq.

b.Costs of Laboratory contributions to PERS, including administrative expenses, shall be paid as a direct contract expense.

c.The Laboratory shall pay the employer's share of the tax required by the Federal law governing Old Age Survivors and Disability Insurance (OASDI) for those employees who have elected coordinated Social Security coverage in the Public Employees' Retirement System. These payments shall include administrative costs assessed under the program.

2.University of California Retirement Plan (UCRP)

a.Coverage of employees under UCRP shall be in accordance with eligibility requirements as defined in the UCRP plan document.

b.Costs of Laboratory contributions to UCRP, including administrative expenses, shall be paid as a direct contract expense.

c.The coordinated Social Security coverage in UCRP shall be effective as of April 1, 1976. All eligible Laboratory employees who elected to be covered by Social Security shall become a Member with Coordinated Benefits under UCRP. Employees hired by the Laboratory after April 1, 1976, shall automatically become Members with the Coordinated Benefits under UCRP, except for eligible employees who on April 1, 1976 made an election to not be covered by Social Security. This election is binding upon all future periods of UCRP membership.

d.The costs incurred by the Laboratory for the tax required by the federal law governing Social Security for all Laboratory employees who are contributing to Social Security through Laboratory employment shall be allowable under this contract. These payments shall include any administrative costs incurred by the Laboratory assessed under the program.

e.Any UCRP retirement system programs proposal that is Laboratory specific which would increase the cost of the contract beyond that approved by The Regents for University employees shall be approved in advance by the Contracting Officer and the University.

B. HEALTH AND WELFARE BENEFITS

1. Laboratory employees, annuitants, and survivor annuitants shall have access to the same health and welfare benefits under the same terms and conditions as other University employees in accordance with the statutory provisions of State and Federal law.

2. Costs of Laboratory payments, at the rate per employee, annuitant, or survivor annuitant per month as adopted by The Regents, plus administrative expenses, shall be paid as a direct contract expense.

3. The costs of paying premiums for any employee participating in any of the University's plans during any month in which the employee meets all of the following conditions shall be paid as a direct contract expense:

a.The employee receives temporary disability payments under Workers' Compensation as a result of an injury or illness connected with the Laboratory work.

b.The employee receives no salary, vacation, sick leave or supplemental disability leave from which premium deductions can be made.

c.The employee continues in an employee status.

4.Annually for discussion by the Joint Planning and Review Group the University shall inform the Contracting Officer of current and proposed benefit plans extended to University employees in the Laboratory. Any proposal that is Laboratory specific which would increase the cost to the contract beyond that approved by The Regents for University employees shall be approved in advance by the Contracting Officer and the University.

C. INVALIDATION INSURANCE

The Laboratory may provide Invalidation Insurance to employees required to perform official foreign travel or who are authorized Civil Air Patrol pilots. The policy shall be so structured as to only validate applicable personal insurance policies where said policies specifically exclude coverage under the above conditions, including act of war exclusions.

D. ARG/NEST INSURANCE

Employees specifically approved to participate in the ARG/NEST Program shall be covered for accidental death and dismemberment insurance in the amount of $1,000,000 during the entire period of time the individual is assigned to an ARG/NEST Program operation, which is to include any travel time enroute.

E. UNEMPLOYMENT INSURANCE

1.Coverage for eligible employees shall be in accordance with the State of California Unemployment Insurance Code.

2.Costs of Laboratory payments for eligible employees plus related administrative expenses shall be paid as a direct contract expense.

VI. PAYMENTS ON SEPARATION

A.REDUCTION IN FORCE (RIF)

When employees are terminated due to a reduction in force, the following costs are allowable:

1. Pay in Lieu of Notice

Any employee who is laid off or terminated due to a RIF may be given up to 30 days' pay in lieu of 30 days' written notice of termination. Accumulated vacation credit is also paid.

2. Severance Pay Eligibility and Definitions

a.Eligibility: Regular or career status full-time and part-time employees, excluding University faculty, trainees, apprentices, and employees with short or limited term appointments with a specified ending date, are eligible for severance payments in accordance with the following provisions:

b.Definitions s the following definitions shall apply for purposes of severance payments:

(1)LBL/LLNL Definitions:
(a)Continuous Service. Service is continuous if an employee is on pay status each month without a break in service. For severance pay purposes, a break in service occurs when there is a separation from employment at any University or Laboratory site for any reason, except that a separation from employment for purposes of transferring an employee to Contract 48 from Contract 98 is not a break in service.
(i)Periods on an approved leave without pay for military service, illness or injury compensable by Workers' Compensation, assignment to another research organization at the direction of the Laboratory, or for any period of 30 days or less are counted as periods of continuous service for the purposes of severance pay, as are periods on pay status before and after any other approved leave without pay.

(ii)Periods of employment prior to a break in service are not counted as periods of continuous service for purposes of severance payment, nor are periods on pay status as a University Graduate Student Employee or indeterminate time employee (except that for an indeterminate time employee who has attained career status, the period on pay status which qualified the employee for career status and subsequent periods shall be counted).

(iii)Continuous service is reestablished when an employee is rehired from preferential rehire status.

(b)Equivalent Job. An equivalent job is any career position with the Laboratory or the University at a beginning salary at least equal to the salary paid the employee in the job from which that employee was laid off, regardless of salary range.

(c)One Week's Pay. One week's pay for nonexempt, hourly-rated employees is defined as the basic hourly rate (excluding shift differential and overtime) times 40 hours or, for Fire Fighters, the specifically approved workweek. One week's pay for full-time exempt employees is defined as the hourly equivalent of the monthly rate times 40 hours.

(2)LANL Definitions:

(a)Length of Service. Length of Service shall be defined as the last period of continuous full-time or part-time permanent employment, deducting any periods of time during which the employee is in leave-without-pay status for periods in excess of thirty (30) days. Exceptions to the length of service computation may be made for employees who, following formal notification of their selection for a reduction-in-force, accept a short-term or limited-term position because of the lack of available suitable positions without a specified termination date. For these employees only, time spent in the short-term or limited-term position may be included in the length of service calculation.

(b)Fractional years of service of six (6) months or more shall receive a full year of credited service for that year. Fractional years of service of less than six (6) months shall not receive credit service for that year, except for those employees whose length of service is less than six (6) months.

(c)One week's pay. One week's pay for nonexempt employees is defined as the basic hourly rate times 40 hours. One week's pay for exempt employees is defined as the hourly equivalent times 40 hours.

3.Severance Pay Benefit

A severance payment shall be made to Laboratory employees whose employment with the Laboratory is terminated due to a reduction-in-force and shall be applied as follows:

a.LLNL/LBL Severance Pay Benefit:

The severance payment shall be made in an amount equal to one week's pay for each year of continuous full-time equivalent service (a fractional year of full-time equivalent service of six months or more is counted as one year of service) not to exceed a total of 26 weeks pay.

b.LANL Severance Pay Benefit:

Length of Service -- Up to two years
Benefit Allowance -- 2 week's pay

Length of Service -- Over 2 years but less than 6 years
Benefit Allowance -- 1 week's pay for each year of service

Length of Service -- Over 6 years
Benefit Allowance -- 1 week's pay for each year of service through 6 years, plus 2 weeks' pay for each year of service in excess of 6 years, not to exceed a total of 39 weeks

The severance pay benefit for employees hired prior to October 1, 1987, shall be the greater of either (1) accruals based on eligible service under the prior schedule which were earned as of October 1, 1987, or (2) the accrual based upon the above schedule for all eligible service.

c.The Laboratory may pay employees a lump sum payment at the time of termination or in bi-weekly installments.

4.Limitations on Severance Pay

a.Severance payments shall not extend the period of employment beyond the date of termination due to layoff or RIF.

b.Severance payments shall not include payment for any period of service for which the employee has previously received such payment.

c.Severance payments shall not be provided to an employee who:

(1)transfers to another Laboratory position or University career position (including a position at another University-managed Laboratory);

(2)refuses a transfer to an equivalent position within the Laboratory or the University (including a position at another University-managed Laboratory). An equivalent position is defined as a career or indefinite term position at a beginning salary at least equal to the salary paid the employee in the job from which that employee was terminated, regardless of salary range.

(3)is offered employment at comparable pay and benefits by a successor contractor;

(4)resigns;

(5)dies, except that severance pay will be provided if an individual dies after receiving notice of a reduction in force;

(6)is discharged for cause;

(7)elects to retire normally.

Exceptions for voluntary resignations upon approval of the Director, may be made as follows:

(1)Employees who have received a written notice of layoff or termination due to a RIF but who voluntarily resign prior to the effective date established for their termination may receive the severance payment.

(2)Employees not otherwise scheduled for layoff or RIF who voluntarily resign and thereby eliminate the need for involuntarily terminating other employees may receive the severance payment.

5.Reemployment

a.Should an individual who has received severance payments be rehired by the Laboratory or the University before the expiration of the number of weeks for which the employee has received severance payments, the amount of the balance shall be credited as an advance on earnings.

b.LANL only: A severance payment terminates employment. There are no reemployment rights on the part of the employee.

c.LLNL/LBL: Should an individual be recalled or preferentially rehired during the period of eligibility (according to University policy, up to a period of three years), all prior sick leave credit shall be reinstated. In addition, continuous service is re-established when an employee is rehired from preferential rehire status.

d.LANL only: Prior sick leave accumulations may be reinstated on behalf of an employee involuntarily separated by the Laboratory as part of a RIF action who is reemployed by the Laboratory within nine months of termination.

B. PAYMENTS UPON TERMINATION OTHER THAN RIF

1.Pay in Lieu of Notice of Dismissal. When approved by the Director, up to 15 calendar days' pay may be paid in lieu of notice.

2.Pay in Lieu of Notice of Security Discharge. Employees who are discharged for security reasons at the request of DOE may be given up to 15 calendar days' pay in lieu of written notice of such termination. Accumulated vacation credit is paid in addition.

3.Sick Leave. Accumulated sick leave is not payable upon termination and may not be used beyond a predetermined date of termination.

4.Vacation. Accumulated vacation is payable at termination or upon extended military leave at the rate in effect as of the date of termination, including any shift differential.

5.Termination by Death. Upon the death of an employee who has been employed for at least six (6) months or more at 50 percent time or more, a sum equal to the normal salary of the deceased for one month shall be paid to the surviving spouse, or if there is no surviving spouse, to the deceased's eligible dependent(s), or if there is neither a surviving spouse nor eligible dependent(s), to the beneficiary designated in the deceased's University-paid life insurance. If there is no University-paid life insurance policy or no designated beneficiary of any such policy, the death payment shall be made to the estate of the deceased.

6.LANL only: Under special circumstances, as determined by the Director, and with the approval of the Contracting Officer, cost of travel and shipment of household goods may be authorized for terminating employees or the family of a deceased employee.

VII. LABOR RELATIONS

A.COLLECTIVE BARGAINING

1.The University shall respect the right of employees to organize, form, join or assist labor organizations, bargain collectively through representatives of the employees' own choosing, and to engage in other concerted activities for the purpose of collective bargaining and also the right to refrain from such activities.

2. Costs of wages and fringe benefits for employees represented by exclusive collective bargaining representatives, and all other costs and expenses incurred pursuant to the provisions of collective bargaining agreements and revisions thereto, are allowable costs.

3.The University shall meet with the Contracting Officer or designee(s) for the purpose of reviewing the University's bargaining objectives prior to negotiation of any collective bargaining agreement or revision. The University shall keep the Contracting Officer advised of significant developments during any negotiations.

4.Employees in specified classes at LBL are covered by the following collective bargaining agreements:

• University of California and California Nurses Association Agreement, Registered Nurse Unit.

• University of California and AFSCME Agreement, Service Unit.

• University of California and AFSCME Agreement, Clerical and Allied Services Unit.

• University of California and Alameda County Building and Construction Trades Council Agreement, Skilled Crafts Unit.

B.GRIEVANCE AND COMPLAINT COSTS

1.The cost of a settlement or award resulting from an employee grievance processed in accordance with University policy is allowed as a direct contract expense. The Laboratory will promptly inform and consult with the University and the DOE regarding the nature and amount of any settlement or award to be decided in favor of the employee that exceeds $60,000.

2.The Laboratory may pay the entire costs or some portion thereof for services rendered by a non-Laboratory Hearing Officer in accordance with University policy.

3.The DOE recognizes the University policy which provides for the payment of legal defense costs for employees who, as a consequence of acting in the course and scope of their employment duties, are charged with a criminal violation of environmental law. In the event that such criminal charges are brought against an employee engaged in work associated with the University's management of the DOE Laboratories, the University will seek a determination from the Contracting Officer that the costs of defense of the criminal charge are allowable under the contract.

Should the DOE decline this request and the employee be found not guilty, the University will request reimbursement from the Contracting Officer for the legal defense costs. If an employee is found guilty and is assessed a fine, the University may, in certain circumstances on a case-by-case basis, request that the sum necessary to pay the fine be provided by the Contracting Officer. The decision of the Contracting Officer will be made on a case-by-case basis.

VIII. LEAVES WITH PAY

A.HOLIDAYS

1.All employees, except those working on a casual basis at LANL, and part-time and indeterminate time employees in pay status less than one-half of the working hours of the month at LLNL/LBL, shall be granted time off with pay for compensable holidays.

2.LANL observes the following holidays:

• New Year's Day
• Martin Luther King, Jr.'s Birthday
• Washington's Birthday
• Memorial Day
• Independence Day
• Labor Day
• Columbus Day
• Veterans' Day
• Thanksgiving Day
• Friday following Thanksgiving
• Christmas Day
• Energy Conversation Day (Floating Holiday)

The holiday designated "Energy Conservation Day" may be observed on an appropriate day during the year as designated by the Director.

In addition to the holidays specified in this Section, upon approval by the University, all employees, except those working on a casual basis, shall be granted time off with pay for each holiday or special observance declared or encouraged for the Nation by the President of the United States.

3.LLNL/LBL observe University holidays. They are normally the following days each year:

• New Year's Day
• Third Monday in January
• Third Monday in February
• Last Monday in May
• Fourth of July
• Labor Day
• Thanksgiving Day
• Friday following Thanksgiving Day
• December 24 (or an announced equivalent)
• Christmas Day
• December 31 (or an announced equivalent)
• One additional holiday to be selected each year by the President of the University.

4.If a compensable holiday falls on a Sunday, the following Monday is observed as a holiday. If a compensable holiday falls on a Saturday, the preceding Friday is observed as a holiday unless an alternate day is designated by the President of the University. In the case of an extended workweek, the Saturday or Sunday itself may be observed as the holiday.

5.Employees working irregular, full-time schedules receive pay for holidays occurring on their scheduled days(s) off, or another day off in lieu of the holiday, but shall not be granted more holidays than are granted other employees.

6.LANL only: A holiday is not compensable to an employee who is absent without pay both the full scheduled workday immediately preceding and immediately following the holiday.

7.LLNL/LBL: A continuing full-time employee who is on approved leave without pay for a period of not more than twenty calendar days, including holidays, shall receive pay for any holiday occurring during that period.

8.Nonexempt employees who work on a holiday are paid at the rate of one and one-half for hours worked on a holiday, or four hours at the employee's straight time hourly rate, which ever is greater in addition to holiday pay. Exempt employees do not receive extra pay when required to work on a holiday.

B.VACATION

1.Rates of Accrual and Maximum Allowable Credit [LLNL/LBL]

a.Full-time employees, other than Fire Fighters and University faculty members who are eligible for vacation with pay, accrue vacation credit in accordance with the following table:



b.Fire Fighters who average 56 hours of work per week accrue vacation credit in accordance with the following table:



c.Vacation credit shall accrue at the normal rate during leave with pay.

d.In special cases maximum accruals of vacation credit may be extended by prior approval of the Director based on reasons of business exigency.

2.Rates of Accrual and Maximum Allowable Credit [LANL]

a.Full-time employees hired before the effective date of the contract shall accrue vacation leave at the rate of two (2) basic workdays per month provided they are in pay status for at least half their work schedule for that month. The maximum allowable credit is 48 days.

b.Full-time employees who are hired on or after the effective date of the contract shall accrue vacation leave in accordance with the following table, provided they are in pay status for at least half their work schedule for that month.



c.The monthly vacation accrual for part-time employees shall be on a pro rata basis predicated upon actual hours worked as opposed to a full-time work schedule.

d.Vacation leave accrual during an employee's first and last month of employment shall be adjusted according to the employee's starting or termination date.

e.Nonexempt employees shall be paid at their straight-time hourly rates for vacation leave taken. Exempt employees shall be paid at their monthly pay rates for vacation leave taken.

f.The provisions of this section shall not apply to casual and short-term employees. Exception: short-term employees who convert to regular employee status (full-time or part-time) without a break in service shall be credited vacation accrual retroactive to the individual's date of hire as a short-term employee.

g.Vacation days which shall accrue to an eligible employee during the leave year may be credited to the individual's account at the beginning of or during the leave year. The leave year limitation may be waived by the Director provided, however, that in no case shall an employee be credited for more than the vacation days which shall accrue during the next consecutive twelve (12) month period.

3.Scheduling Vacation [LLNL/LBL]

Vacations shall be scheduled at the convenience of departments and may be taken in any amount up to the total of the employee's credit. Vacation credit shall not be used prior to the time it is actually earned.

However, up to two days' advance use of vacation credit accruals for the months of December and January may be used to facilitate implementation of any Christmas/New Year's holiday closures. This exception applies only to new employees who have not had sufficient time to accrue adequate vacation balances and to special cases where adequate vacation balances do not exist.

4.Vacation Charges [LLNL/LBL]

a.Vacation credit is charged on the basis of the number of working days or fractions of days taken off.

b.For the purpose of computing vacation charges, each employee is considered to work not more than five (5) working days per week.

c.Saturday and Sunday, or two equivalent days off per scheduled workweek, and Laboratory holidays are not charged against vacation with pay.

d.Fire Fighters, who are on a 24-hour shift schedule, are charged vacation on an hour-for-hour basis when vacation is taken on their normal days of work.

5.Transfer of Credit

a.When an employee changes employment between a Laboratory and any other employing unit of the University, vacation credit is not transferred but is paid to the employee.

b.LBL only: Employees upon reclassification from any other classification to Graduate Student Research Assistant shall be paid for vacation credit at their previous salary rate.

C. SICK LEAVE

1.Rates of Accrual [LLNL/LBL]

a.Full-time employees at LLNL and LBL, other than Fire Fighters and University faculty members who are eligible for sick leave with pay, accrue sick leave at the rate of eight (8) hours per month for basic workweeks of 40 hours. Employees scheduled for less than 40 hours but 20 hours or more per week accrue credit at proportionate rates but do not earn sick leave credit for any hours over 40 in a workweek.

b.Fire Fighters accrue sick leave at the rate of 11 hours per month on the basis of averaging 56 hours of work per week.

c.University faculty members accrue sick leave at the rate of eight (8) hours per month in approximate proportion to the percent full-time (40 hours per week) worked at the Laboratory.

d.Credit for sick leave shall accrue during leave with pay.

2.Rates of Accrual [LANL] [

Employees hired at LANL accrue sick leave as follows:

a.Full-time employees hired before the effective date of the contract shall accrue sick leave at the rate of one and one-half basic workdays per month provided they are in pay status for at least half their work schedule for that month.

b.Full-time employees who are hired on or after the effective date of the contract shall accrue sick leave at the rate of one basic workday per month provided they are in pay status for at least half their work schedule for that month.

c.The monthly sick leave accrual for a part-time employee shall be in the same approximate ratio to one basic workday as the hours in pay status, excluding overtime hours, bears to the normal full-time schedule.

d.Sick leave accrual during an employee's first month of employment shall be adjusted according to his or her hiring date.

e.The provisions of this section shall not apply to casual and short term employees, with the exception that as many as six (6) days of sick leave per six (6) months may be granted to cooperative education students.

f.Short-term employees who convert to regular employee status (full-time or part-time) without a break in service shall be credited sick leave accrual retroactive to their date of hire as a short-term employee.

3.Method of Charge

a.Sick leave is charged on the basis of the number of working days or fractions of days taken off.

b.For the purpose of charging sick leave, each employee is considered to work not more than five days each week.

c.Saturday and Sunday or equivalent days off and Laboratory holidays are not charged against sick leave.

d.[LLNL/LBL] Fire Fighters, who are on a 24-hour shift schedule, are charged sick leave on an hour-for-hour basis for sick time on their normal days of work.

e.Sick leave with pay may not be taken prior to actual accrual.

f.Except as provided in this section g and h, below, sick leave is granted only when an employee is unable to render service because of sickness, disability, quarantine, or the bearing of a child. Any employee may be required to furnish satisfactory proof of sickness or disability. Sick leave is not a part of wages or salary and is not paid on termination.

g.An employee shall be permitted to use not more than thirty days of accrued sick leave in any calendar year when required to be in attendance or to provide care, because of the illness of the employee's spouse, parent, child, sibling, grand-parent, or grandchild. In-laws and step-relatives in the relationships listed also are covered. This provision also covers other related persons residing in the employee's household.

h.An employee shall be permitted to use not more than five days of sick leave when that employee's absence is required due to the death of the employee's spouse, parent, child, sibling, grandparent, or grandchild. In-laws and step-relatives in the relationships listed also are covered. This provision also covers other related persons residing in the employee's household. In addition, an employee shall be permitted to use not more than five days of sick leave in any calendar year in the event an employee has a personal obligation with regard to funeral attendance or bereavement due to the death of any other person.

i.In the event of sick leave taken beyond current credit, the excess is charged to vacation with pay as long as there are vacation credits or to leave without pay.

j.Any time reported as sick leave included within a vacation period shall be acceptable as a charge against sick leave accrual, providing it is supported by a doctor's certification or other administratively acceptable evidence.

k.LANL only: Nonexempt employees shall be paid at their straight-time hourly rate for sick leave taken. Exempt employees shall be paid at their monthly pay rate for sick leave taken.

l.If an employee's disability extends beyond sick leave and vacation accruals, a sick-leave grant with pay s not to exceed 30 workdays s may be granted under the following conditions:

(1)A unique hardship or unusual circumstance is demonstrated and the grant is approved by the Director;

(2)The employee does not have any other appropriate disability coverage under the University's employee and/or employer paid plans;

(3)The employee's illness is such that they are expected to return to work in a reasonably short period of time after the expiration of the sick leave grant.

(4)Vacation and sick leave shall not accrue to an individual while on sick leave granted pursuant to this section (C.3.l.).

The sick-leave grant is not an advance of accrued sick leave and does not have to be repaid. Sick-leave grant beyond fifteen workdays requires approval by the University.

m.Illness or injury while in official travel status. Whenever an employee, while in official travel status, is not able to perform regular duties due to illness or an injury, and not because of the employee's own misconduct, a per diem or actual expense for subsistence and lodging may be paid not to exceed a total of fourteen (14) calendar days for any one illness or injury, unless in a particular case a longer period is approved by the Director. The type of leave and duration must be shown on the travel claim.

When such an employee receives hospitalization under the Workers' Compensation Act or receives reimbursement under the Act for hospital room expenses paid by the employee, the employee shall be paid for only those subsistence and lodging expenses not covered by the Workers' Compensation Act which are reasonable and justified.

4.Reinstatement of Sick Leave

When a former employee of the University (including the Laboratories), or of the State of California, is employed by the Laboratory, the total sick leave accumulation from previous employment shall be reinstated by the Laboratory if the interval between the last day of the former employment and the start date at the Laboratory is less than 15 calendar days. If the interval is 15 calendar days or more, and less than six months, reinstatement of sick leave is limited to 80 hours.

D. OTHER LEAVES WITH PAY

1.Authorized Leave with Pay

a.An authorized leave of absence with pay may be granted to exempt employees in consideration of time required to be worked by an employee at the direction of his or her supervisor which substantially exceeds the employee's normal work schedule. Such leave is not to be used to compensate an employee for extra work on an hour-for-hour basis.
(1)Up to three workdays a month may be granted an exempt employee by the Division Leader.

(2)Periods in excess of three workdays a month may be granted only with the approval of the Director or designee.

b.Leaves of absence with pay up to five working days may be granted by the Director to any employee to cover unusual circumstances. Where adequate sick leave or vacation credits exist, such leave shall be charged to credits.

2.Jury Duty

Employees who have been called to be selected or to serve on a jury impaneled by a civil authority are authorized time off with pay. Any fee received by the employee for such duty may be retained by the employee.

3.Court Leave

Except where an employee is subpoenaed as an expert witness and receives a fee as such, an employee who has been subpoenaed to testify as a witness in legal proceedings (other than one in which the employee is a party to the suit) or is called to serve as a witness in a Department of Energy administrative hearing may be authorized time off with full pay.

4.Voting Time

All employees shall be allowed not more than two (2) hours of leave with pay for the purpose of voting in national, state, or local elections.

5.Health Checks

Employees required by the Laboratory to take time off from work for a health check to determine if a job-incurred injury or illness has occurred or to determine the employee's physical fitness for a certain type of work assignment shall remain in pay status for the time thus spent. Such time shall not be charged to accrued leave.

6.Blood Donations

Employees who volunteer as donors of blood, without compensation, to Laboratory approved blood drives may be excused for the period of time necessary to accomplish this purpose and shall remain in pay status for the time thus spent. Such time shall not be charged to accrued leave.

7.Investigatory Leave

The Laboratory may place an employee on investigatory leave with pay when continued engagement of the employee may pose a risk to the Laboratory's normal health, safety, security, or work standards. The Contracting Officer shall be notified if a particular investigation is anticipated to require more than 30 calendar days.

8.Community Service Leaves

a.An employee may, when approved by the Director, be excused without loss of pay for a reasonable period to perform community service or civic duties in his or her community. An employee may also be excused without loss of pay for a reasonable period of time to serve as a member of, or consultant to, a board, commission, committee or government agency when officially appointed.

b.An employee who performs search and rescue or disaster control work as a member of an organized civil unit may be granted time off with pay for the time the employee is required to be away for the scheduled working hours when approved by the Director. Leave with pay may not be granted for training, drills, or practice exercises with such organized civil units.

c.Civil Emergency Preparedness Training and Civil Emergencies

(1)Employees who volunteer their services and meet the following conditions may be excused without loss of pay for participation in pre-emergency Civil Emergency Preparedness training programs and test exercises.
(a)The employee must be an active member of an approved Civil Emergency Preparedness organization.

(b)The Laboratory must determine that the services of the employee are not required by the Laboratory during an emergency condition.

(2)Such leave with pay shall not exceed forty (40) hours during a calendar year for any employee.

(3)Employees who provide services during active civil emergencies shall receive pay, including overtime payments, for time worked in accordance with regular pay policies, provided:

(a)The Contracting Officer declares that a civil emergency exists, and

(b)The services are (or were) requested by a local Civil Emergency Preparedness Director or authorized representative.

9.Public Emergency Leave

An employee may be granted time off with pay during a public emergency which effectively prevents the attendance at work or the continuance of work in a normal and orderly manner. A public emergency includes either a natural disaster, such as fire, flood, or earthquake, or a manmade disorder, such as a demonstration, riot, or act of sabotage. Authorization for time off with pay for such emergencies is made by the Director.

10. Professional Renewal Leave

The Director may grant Professional Renewal Leave to a limited number of Laboratory managers or scientific personnel who have made outstanding contributions in furtherance of Laboratory objectives. The purpose of Professional Renewal Leave is to provide these individuals an opportunity to attach themselves to external organizations and/or programs for the purpose of professional revitalization and development. These temporary external assignments shall be approved based on technical and programmatic relevance to assure mutual benefit to both the Laboratory and the employee.

General provisions:

a.Candidate must be either a recognized senior scientific or management series employee for whom it would not normally be practical to utilize either the Advanced Study Program or the Professional Research or Teaching Leave.

b.The period of leave shall not exceed six months.

c.Salary payments, vacation, sick leave and other benefits shall continue as if the employee were in full duty status at the Laboratory.

d.The Laboratory may provide travel support in accordance with the Travel Section of this Appendix.

IX. LEAVES WITHOUT PAY

A.PERSONAL LEAVE

A career or regular employee may be granted a personal leave without pay, but in granting the leave, the best interest of the Laboratory as well as the interests of the employee shall be considered. Personal leaves may be granted for reasons including but not limited to: extended illness; need to provide care for members of the family; or education or other activities which shall directly enhance job effectiveness. A personal leave for temporary employment outside the Laboratory may be approved provided that the outside work is in the interest of public service and/or will be beneficial to the Laboratory upon the employee's return.

B. PREGNANCY DISABILITY LEAVE

An employee disabled from working because of pregnancy, childbirth, or related medical conditions, upon request, shall be granted a leave of absence for up to four months during the period of disability. If the period of disability continues beyond four months, a personal leave may be granted.

C. PARENTAL LEAVE

Upon request, a career or regular employee shall be granted parental leave for up to six months for the care of a newborn or a newly adopted child.

D. WORK-INCURRED DISABILITY LEAVE

An employee who is off pay status and receiving temporary disability payments under the Workers' Compensation Act may be granted a leave without pay for all or part of the period during which such temporary disability payments are received, except that any leave without pay which is granted shall not extend beyond a predetermined date of separation.

E. EFFECT ON BENEFITS

Periods of approved leave without pay are not counted as University service except as provided in specific Laboratory personnel policies. The effect of leave without pay on retirement and group insurance plans is governed by University group insurance and retirement system regulations.

X. WORKERS' COMPENSATION AND EXTENDED SICK LEAVE

A. LLNL AND LBL CONTRACTS

1.Sick leave or vacation payments by the University in the case of persons receiving injuries compensable under the Workers' Compensation Act are not the benefits otherwise payable, but the difference between such payments and the amount payable to the employee under the Workers' Compensation Act.

a.Any period of time during which an employee is absent without pay from his or her position by reason of an injury or disease compensable under the Workers' Compensation Act is not a break in continuous service for purposes of eligibility for salary increases, sick leave, vacation, and length of service benefits.

b.Upon return to work, an employee who has been ill or injured receives full credit for the vacation and sick leave that accumulated during the time the employee was absent without pay and received benefits under Workers' Compensation. These credits accumulate on the same basis as if the employee had been regularly employed. If such an employee terminates without returning to work, no credits for the period of absence without pay are granted.

2.An employee who is absent from work because of a work-connected injury or illness that is compensable under the California Workers' Compensation Act shall be eligible for supplemental sick leave, disability leave, and vacation as follows:

a.Accumulated sick leave and vacation credits shall be used on a supplemental basis to provide payments in an amount equal to the difference between payments under Workers' Compensation and the employee's basic salary rate.

b.After sick leave credits are exhausted, supplemental disability leave payments shall be made by the University. The total amount of all payments received shall not exceed 80 percent of the employee's basic salary rate for the period such compensation is payable.

c.The duration of supplemental disability leave payments for any one injury or illness shall not exceed 26 weeks.

d.Supplemental disability leave shall be granted only for periods for which the employee receives temporary disability payments under the Workers' Compensation Act, except that an employee who does not have sufficient sick leave credit may be paid disability leave for the first three calendar days following an accident or illness that is compensable under Workers' Compensation.

e.An employee who is a member of the Laboratory Fire Department in the active "fire fighting and prevention service" class and who becomes entitled to leave with full salary for a period not exceeding one year, as provided in California Labor Code Section 4804.1, shall not have such leave charged to accrued sick leave, vacation, or extended sick leave.

f.An employee who is a "law enforcement" member of the Laboratory Protective Services Department and who becomes entitled to leave with full salary for a period not exceeding one year, as provided in California Labor Code Section 4806, shall not have such leave charged to accrued sick leave, vacation, or extended sick leave.

B. LANL CONTRACT:

1.An employee suffering a job-incurred injury or disability may be paid the straight-time hourly rate or monthly pay rate during the waiting period before Workers' Compensation begins, or the difference between the Workers' Compensation payment and such rate if the employee later becomes eligible for Workers' Compensation during the waiting period.

2.An employee entitled to receive Workers' Compensation may be paid the difference between the Workers' Compensation payments and the straight-time hourly rate or monthly pay rate for the period such compensation is payable, not to exceed a period of twenty-six (26) weeks. The total amount of all payments received shall not exceed 80 percent of the employee's regular income for the period such compensation is payable.

XI. MILITARY LEAVE

A.LANL:

Temporary or extended military leave pay shall be authorized only for employees who have been employed by the Laboratory for one full year prior to the date on which such military leave begins. Prior full-time (active duty) military service shall be included in calculating the one year employment requirement. Temporary or extended military leave pay shall not be paid to short-term employees or visiting staff members (long-term).

1.Temporary Military Leave for Training:

Temporary leave in pay status up to fifteen (15) calendar days in any calendar year may be granted to employees who, as members of the National Guard or Reserves of the Army, Navy, Coast Guard, Marine Corps, Air Force, or the Commissioned Corps of the U.S. Public Health Service, are called to temporary duty when necessary to satisfy training requirements of their branch of service or when the National Guard is ordered to temporary duty by order of the Governor of the State. Pay for such leave shall not exceed the employee's straight-time hourly rate for nonexempt employees or basic salary for exempt employees for the period of leave.

2.Extended Military Leave:

An employee who enters into extended active duty with the National Guard when federalized, or with the Army, Navy, Coast Guard, Marine Corps, Air Force, or the Commissioned Corps of the U.S. Public Health Service, directly from the Laboratory may be granted extended military leave until ninety (90) days after the employee's date of honorable discharge or separation from such service or until the date of the employee's return to the Laboratory as an employee, whichever is sooner. Employees entering into extended military leave service may be paid a sum equal to a month's pay at their basic salary for exempt employees or monthly equivalent for nonexempt employees.

3.An employee may be granted reasonable time off in pay status, regardless of the employee's length of employment with the Laboratory, when required to register for the draft or to report for any ordered physical examination to determine the employee's eligibility for service in the Armed Forces.

B. LBL/LLNL:

1.Temporary Military Leave for Active-Duty Training:

a.Temporary military leave for active-duty training shall be granted to any employee who as a member of a reserve component of the United States Armed Forces (the federally recognized National Guard, the federally recognized Air National Guard, the Officer's Reserve Corps, the Regular Army Reserve, the Air Force Reserve, the Enlisted Reserve Corps, the Naval Reserve, the Marine Corps Reserve, the Coast Guard Reserve, and the Public Health Reserve when serving with the Armed Forces) is ordered to full-time active military duty for training for a period not to exceed 180 calendar days, including time spent traveling to and from such duty. Such leave is not granted for inactive duty such as regular weekly or monthly meetings or drills required to maintain reserve status.

b.Eligibility for Pay

An employee granted temporary military leave for active duty training is entitled to receive regular pay for up to 30 calendar days, but not to exceed the actual period of active-duty training, provided:

(1)the employee has at least twelve months of continuous University service immediately prior to the granting of the leave (any prior full-time military service shall be included in calculating this University service requirement); and

(2)such payment, in addition to payment for extended military leave and for military leave for physical examinations, does not exceed 30 calendar days' pay in any one fiscal year.

c.Part-time Employee

An eligible part-time employee shall receive pay in proportion to the average percent of full-time worked during the three completed monthly pay periods immediately preceding the leave.

d.Benefits

An employee on temporary military leave for active-duty training who is not on pay status shall receive length of service credit provided that the employee returns to Laboratory service at the expiration of the leave in accordance with employment rights under applicable State and Federal laws, but shall not accrue vacation or sick leave or receive holiday pay. If on pay status, the employee shall receive regular benefits.

2.Extended Military Leave:

a.Extended military leave shall be granted to an employee who enlists or is ordered into active duty in the United States Armed Forces or a reserve component or who is ordered into active Federal military duty as a member of the National Guard or Naval Militia. Such leave shall be granted for active-duty service of any length or for active-duty training in excess of 180 days.

b.Period of Leave

(1)An employee shall be granted extended military leave for the initial period of enlistment, service, or tour of duty for a period not to exceed four years.

(2)Eligibility for Pay

An employee granted extended military leave is entitled to receive regular pay for the first 30 calendar days of leave provided:

(a)the employee has at least twelve months of continuous University service immediately prior to the leave (any prior full-time military service shall be included in calculating this University service requirement); and

(b)such payment, in addition to payment for temporary military leave for active-duty training and for military leave for physical examinations, does not exceed 30 calendar days' pay in any one fiscal year.

c.Benefits

An employee granted extended military leave shall receive a lump-sum payment for earned salary, accrued vacation, and accrued overtime. Upon written request, an employee may elect to retain accrued vacation on the records for a period not to exceed 180 days. Vacation credits retained on the records for the entire 180 day period shall be paid out at the pay rate in effect at the time of payment, taking into account any salary increases that may have occurred in the previous 180-day period.

d.Sick leave credit shall be retained on the records.

e.Retirement benefits and service credit shall be in accord with the provisions of the applicable retirement system.

f.An employee shall receive other length-of-service credits related to employment that would have been granted had the employee not been absent, but shall not accrue vacation or sick leave or receive holiday pay.

g.Upon reinstatement, an employee shall receive salary range adjustments applicable to the employee's position during the military leave.

3.Emergency National Guard Leave:

a.Military leave shall be granted to an employee who as a member of the National Guard is called to active duty by proclamation of the Governor during a state of emergency. An employee who as a member of the National Guard is called to active Federal military duty at the request of the President of the United States is not eligible for emergency National Guard leave, but shall be granted extended military leave as set forth in Section XI.B.

b.Eligibility for Pay

An employee granted military leave for emergency National Guard duty is entitled to receive regular pay for a period not to exceed 30 calendar days in any one fiscal year. An employee is eligible for pay regardless of the length of University service, and such pay is in addition to any payment for temporary military leave for active-duty training, extended military leave, and military leave for physical examinations.

c.Benefits

An employee on military leave with pay for emergency National Guard duty shall receive all benefits related to employment which are granted when an employee is on pay status. If not on pay status, the employee shall receive length of service credit, provided that the employee returns to Laboratory service immediately after the emergency is over, but shall not accrue vacation or sick leave or receive holiday pay.

4.Physical Examination:

Military leave with pay shall be granted to an employee, regardless of length of service, when the employee is required to take a pre-induction or pre-enlistment physical examination to fulfill a commitment under a Selective Service or comparable law, or during a period of war or comparable national emergency.

5.Defense Work:

Upon approval of the Director, military leave without pay may be granted to an employee who is called or volunteers to serve in scientific research and development under the auspices of the Federal government during a war or comparable period of national emergency. Such an employee shall not be eligible for 30 calendar days' pay for military leave.

XII. SECURITY LEAVE

A.GENERAL PROVISIONS

1.The purpose of training and education programs shall be to increase employee skills and efficiency, develop techniques for the solution of operating problems, to prepare participants for additional responsibilities and to enhance opportunities for career advancement.

2.The objective of training shall be to enhance employee development within a reasonable period of time. Training must be relevant to the goals of the Laboratory, and shall be provided only when there is a reasonable expectation that the employee shall remain in the employ of the Laboratory performing DOE related work for a sufficient period of time to provide a fair return for the training costs.

3.The Laboratory shall establish written procedures outlining the goals and objectives of the training program.

4.The Laboratory shall send an annual report to the Contracting Officer providing the number of employees participating in training and education programs and the dollars spent.

B. TRAINING

Employees and other Laboratory workers, including but not limited to those who are faced with layoffs or contemplated layoffs, may be trained to learn skills necessary for their current job or for jobs in the facility which may be vacant or for which the employees have transfer rights.

1.In-house Training. Reasonable costs of in-house training including necessary equipment, materials and instructor personnel are allowable.

2.Outside Training Programs. Employees may be selected by the Laboratory to participate in appropriate training courses away from the Laboratory facilities. Allowable expenses for such programs shall include travel and subsistence expenses in accord with the Travel Section of this Appendix, the costs of tuition, fees, course materials and the salary of the employee during such assignments.

C. EDUCATION

The Laboratory may select employees to participate in educational programs which are directly related to the employee's current position or to another position to which the employee may reasonably be moved.

1.Educational Assistance Reimbursement. Tuition assistance and other charges billed by the institution, books and paid release time, may be provided by the Laboratory for job-related courses whether or not they lead directly to a degree. The Laboratory may provide cooperative education programs whereby students may alternate between working and attending classes. In no event may paid release time for any given period exceed 20 hours per week.

2.Advanced Study Program. The Laboratory Director may assign selected employees for study to be undertaken in residence at recognized colleges or universities where such assignment will enhance Laboratory mission objectives. The Laboratory may pay the costs assessed by the institution, tuition and books, as well as a dislocation allowance and transportation in accordance with the Travel Section of this Appendix, and salary and benefit costs of the employee during such assignments.

3.GSRA Fee Remission Program. [LBL/LLNL] Graduate Student Research Assistants (214.1-214.6) receive tuition, fee remission and health insurance benefits as determined by University of California policies for graduate student researchers.

4.Professional Research or Teaching Leave. To promote the continuing professional growth and competence of employees, the Director may grant partially subsidized leave, as described below, to a limited number of exempt employees. Such leave, to be known as Professional Research or Teaching Leave, may be spent at appropriate institutions within the United States or abroad.

a.The candidate must be one of professional ability, with a firm plan of study, teaching or research which is clearly relevant to the interests of the Laboratory and individual's competence.

b.The candidate must have been employed by the Laboratory for a period of four (4) or more years.

c.University faculty members with Laboratory appointments at more than 50% time during the academic year are eligible to participate.

d.The period of leave may not exceed twelve months.

e.Salary payments to an employee on Professional Research or Teaching Leave may not exceed the following schedule:



f.Cost of travel shall not be reimbursed by the Laboratory.

g.Vacation and sick leave shall not accrue to the individual while on Professional Research or Teaching Leave.

h.In the case of a University faculty member with less than 50% campus appointment, Professional Research or Teaching Leave payments may be approved to the extent necessary to offset sabbatical privileges for which the faculty member is ineligible.

D. CONFERENCES AND MEETINGS

The Laboratory may pay travel and/or other reasonable costs incurred for attendance at meetings and conferences of professional, educational, administrative and technical organizations, as well as meetings called by the University, when such attendance is deemed by the University to be in the interests of the Laboratory. Payment of expenses incurred incidental to conferences or meetings held at the employee's duty station shall require authorization by the Director.

XIV. EMPLOYEE PROGRAMS

A. EMPLOYEE RECREATION AND MORALE

The Laboratory may develop, administer, and support a variety of employee programs that will enhance and improve employee morale. The level of Laboratory financial support for this program is not to exceed $16 per employee (full-time or part-time), per fiscal year. Expenditures under this program shall require the approval of the Director or designee.

B. SERVICE AND RETIREMENT AWARDS

The Laboratory may recognize employees by the presentation of a service award. The Laboratory may also recognize employees at the time of retirement by the presentation of the appropriate service award. The cost of awards for this program is not to exceed $120,000 per fiscal year without prior approval of the Contracting Officer.

C. PERFORMANCE AWARD PROGRAMS

The Laboratory may recognize employees or groups of employees who have distinguished themselves by their significant contributions and outstanding performance in the course of their work.

The total cost for each award program shall not exceed the amounts listed below, and shall be paid as a direct contract expense. Annually in consultation with the Contracting Officer, the award program budgets may be adjusted to reflect the annual rate of inflation according to the U.S. Consumer Price Index (CPI) as published by the U.S. Bureau of Labor Statistics. Costs in excess of the authorized amounts shall require Contracting Officer approval. Annually the University shall provide the Contracting Officer with appropriate reports on the individual award program expenditures.

A description of each award program, and the level of fiscal year program funding follows:

1.Distinguished Performance Award Program. [LANL/LLNL] The Laboratory may recognize employees or groups of employees who have distinguished themselves by their significant contributions and outstanding performance in the course of their work in the fields of science, technology, management, administration, or work in support of such programs. The award shall consist of a medal and rosette and a lump sum payment not to exceed $2,000 to an employee or $5,000 to a group of employees. The total cost of the Distinguished Awards Program shall not exceed $30,000 per fiscal year without prior approval of the Contracting Officer.

2.Outstanding Performance Award Program [LBL]. The objectives of this award program are to recognize and reward one-time achievements of a significant nature made by individuals and teams and to encourage development/achievement in specific areas such as EH&S, technology transfer, cost containment, and affirmative action. The amount of the award should reflect the level of performance and accomplishments being recognized. The minimum award amount is $1,000 and the maximum is $5,000. The total annual cost of the Outstanding Performance Award Program shall not exceed 0.3% of the Laboratory's annual payroll base and shall be subject to approval by the Contracting Officer

3.Inventor Award Program. [LANL] The Laboratory may recognize scientific or technological contributions by a monetary award of not more than $300 per employee. In addition, the Laboratory may issue an award not to exceed $2,000 to such employees giving rise to such inventions, innovations, or other outstanding scientific or technological contributions which the Laboratory deems to be the most distinguished during the preceding fiscal year. The cost of awards for this program is not to exceed $20,000 per year without prior approval of the Contracting Officer.

4.Waste Reduction Award Program. [LANL] The Laboratory may recognize employees who have conceived or developed plans, programs, or ideas for reducing any form of waste generated by Laboratory operations. Monetary awards must be at least $50 per individual and may not exceed $2,000 per individual. The cost of awards for this program is not to exceed $10,000 per fiscal year without prior approval of the Contracting Officer.

5.Environmental Health and Safety Award Program [LANL]. The Laboratory may recognize employees who have made contributions in the area of Environmental Health and Safety.

D. EMPLOYEE ASSISTANCE PROGRAMS

Reasonable costs of an Employee Assistance Program, providing counseling and referral for outside assistance in dealing with personal problems of various kinds including, among others, substance abuse, shall be allowable.

E. WELLNESS PROGRAM

Reasonable costs of a Wellness Program to promote employee health and fitness are allowable. This program shall be limited to activities related to stress management, smoking cessation, exercise, nutrition, and weight loss.

XV. TRAVEL

A. LODGING, MEALS, AND INCIDENTAL EXPENSES

Costs incurred by Laboratory personnel (or Laboratory Affiliates in accordance with XVIII.C.) for lodging, meals and incidental expenses shall be considered reasonable and allowable to the extent such costs do not exceed the costs normally allowed and reimbursed by the University in its regular operations in accordance with the University's institutional travel expense policy.

B. COMMERCIAL AIR TRAVEL

1.Airfare costs in excess of the lowest available commercial discount airfare, Federal Government contract airfare (where authorized and available), or customary standard (coach or equivalent) airfare, are unallowable except when accommodations on the lowest available airfare would: require circuitous routing; require travel during unreasonable hours; excessively prolong travel; greatly increase the duration of the flight; result in increased cost that would offset transportation savings; or offer accommodations not reasonably adequate for the medical needs of the traveler.

2.Where the University can reasonably demonstrate to the DOE either the nonavailability of discount airfare or Government contract airfare for individual trips or, on an overall basis, that it is the University's practice to make routine use of such airfare, specific determinations of nonavailability will generally not be questioned by the DOE, unless a pattern of avoidance is detected. However, in order for airfare costs in excess of the customary standard commercial airfare to be allowable, e.g., use of first-class airfare, the University shall comply with the applicable condition(s) set forth above on a case-by-case basis.

C. TRAVEL POLICY AND PROCEDURES

The University shall prepare and publish official travel policies and procedures for allowable moving expenses and for allowable travel expenses of Laboratory personnel which are consistent with this entire Travel section (Part XV). Implementation of these travel policies and procedures and any subsequent revisions which result in increased costs, except those increases resulting from changes in the University's institutional travel expense policy relating to lodging, meals, and incidental expenses, shall be approved by the Contracting Officer. The University has furnished the Contracting Officer a copy of the University's institutional travel expense policy and shall furnish to the Contracting Officer any future revisions to that policy.

XVI. RECRUITING

A. THE LABORATORY MAY INCUR REASONABLE COSTS FOR RECRUITMENT OF PERSONNEL.

B. EXPENSES OF RECRUITING PERSONNEL SHALL INCLUDE, BUT NOT BE LIMITED TO, ITEMS SUCH AS:

1.Costs of advertising and agency and consultant fees shall not exceed $1,000,000 annually without prior Contracting Officer approval.

2.Travel and subsistence for interviewee, interviewer, and recruiting contact paid in accordance with the Travel Section of this Appendix. As approved by the Director or designee, expenses for round-trip travel and subsistence for the interviewee's spouse may be reimbursed. Meal expense for interviewer's spouse may be reimbursed.

3.New or prospective employees may be reimbursed for costs of pre-employment physical examinations.

4.Costs associated with pre-employment screening shall be allowable.

5.For the purpose of house-hunting, and with the approval of the cognizant Division Leader, the Laboratory may authorize the expenses for round-trip travel and subsistence for both the selected new hire and the new hire's spouse. A maximum stay of three days may be permitted. Travel and subsistence costs shall be reimbursed for the applicant and spouse in accordance with the Travel Section of this Appendix.

C. MOVING EXPENSES.

XVII. SPECIAL PROGRAMS

A. ACADEMIC COOPERATION PROGRAM

The Director may approve the assignment of certain selected individuals at the graduate or undergraduate level, who are currently enrolled in recognized colleges or universities, to projects proposed by the college or university and approved by the Laboratory. Such assignments are to be made primarily to further the individual's training, experience and education. The training the individual receives will be credited by the academic institution. Individuals approved by the Director under this program may be reimbursed a daily subsistence allowance in accordance with the Travel Section of this Appendix for each day of Laboratory attendance. This provision does not apply to Graduate Student Research Assistants at LBL.

B. SPECIAL EMPLOYMENT PROGRAMS

The Director may authorize the administration of special employment programs for students at the postgraduate, graduate, undergraduate, and pre-college levels. The Director may also authorize the administration of special employment programs for school teachers to advance science curriculum development in the schools. These programs will enhance normal recruitment by providing a broader base for support of Laboratory programs while facilitating educational cooperation between institutions. Costs associated with salaries, transportation, and relocations shall be in accordance with normal Laboratory guidelines and shall be reported annually to the Contracting Officer Internship or membership fees associated with nationally recognized programs that are paid to other institutions in support of these programs are allowable. A description of the Laboratory's special employment programs shall be provided to the Contracting Officer annually.

C. FELLOWSHIP PROGRAMS

The Laboratory may incur reasonable costs associated with participation in programs (e.g., consortium arrangement such as the National Physical Sciences Consortium for Graduate Degrees for Minorities and Women and the National Consortium for Graduate Degrees for Minorities in Engineering; DOE/Contractor academy/leadership programs; Laboratory science education initiatives;etc.) to provide graduate fellowships to students in science and engineering. Costs associated with employment of students shall include salaries, transportation and relocation. A description of these programs shall be provided to the Contracting Officer annually.

D. LECTURES, HONORARIA, TRAVEL, AND SUBSISTENCE

The Director may approve the payment of (1) a stipend or (2) an honorarium and/or costs of travel and subsistence for a person chosen to give a lecture to or discuss problems of interest with Laboratory employees.

When payment of travel, subsistence and honorarium is authorized, an honorarium in excess of $1,500 shall require University approval. Travel and subsistence reimbursement shall be in accordance with the Travel Section of this Appendix. When payment of a stipend, in lieu of transportation, subsistence and honorarium, is authorized, payment in excess of $2,000 shall require University approval.

E. SERVICE ACADEMY RESEARCH PROGRAM

The Laboratory may participate in a cooperative summer program with military academies by assigning members of the faculty (officers) and cadets/midshipmen to work in various Laboratory programs. During these periods of assignment the individuals shall continue to receive their military salary. The Laboratory shall reimburse the individuals for their round trip transportation costs and subsistence during their period of assignment at the Laboratory.

F. UNIVERSITY OF NEW MEXICO/NATIONAL LABORATORY PROFESSORSHIP PROGRAM [LANL]

The Laboratory may participate in a cooperative program with the University of New Mexico (UNM) by permitting Laboratory Staff Members to serve as part-time UNM faculty members, teaching an average of one course per year. During semesters in which they teach, the involvement of Laboratory participants will amount to approximately 20% of their full-time work schedules: accordingly, UNM shall reimburse the Laboratory for 20% of the salary and fringe benefit costs of participants during teaching periods. Travel costs shall be paid by UNM according to its policies. Appointments are made by UNM for a term of three years. With the concurrence of the Laboratory, an appointment may be extended for one additional three-year term.

G. LONG-TERM VISITING STAFF MEMBER [LANL]

When found necessary by the Laboratory for a visiting staff member to render continuous service of six (6) months or more at Los Alamos, such individual shall be employed as a Long-Term Visiting Staff Member and shall be eligible for benefits as defined in the University of California Retirement Plan and the University of California Group Insurance Regulations. Salary approval requirements of Section III.C.7. of this Appendix shall apply to Long-Term Visiting Staff Members.

With the approval of the Director, round-trip costs of travel for a Long-Term Visiting Staff Member and his/her dependents and cost of his/her household goods shipments may be authorized in accordance with Section XV, Travel. Should a Long-Term Visiting Staff Member convert to a regular appointment, this commitment to reimburse return travel and household goods shipment is no longer applicable.

XVIII. LABORATORY CONSULTANTS AND AFFILIATES

A.GENERAL

An individual shall not render services under this contract in a Consultant or Affiliate capacity if such individual is an employee of another organization and concurrently performing work on a full-time annual basis for that organization under a cost-type contract with the DOE, provided the Laboratory may rely upon the written statement of the individual involved that he or she is not so employed by another organization. The foregoing shall not be deemed to prevent the borrowing of an individual from another DOE cost-type contractor where any payment is a cash payment made pursuant to this contract or DOE procedures to such other contractor and not to the individual.

B. COVERAGE [LANL]

1.The provisions of these sections B and C shall apply to all Laboratory Affiliate categories, which include Official Visitors, Guest Scientists, Consultants, Collaborators, Borrowed Personnel, Industrial Staff Members, Service Academy Research Associates, Military Research Associates, Consortia Appointees (AWU and NORCUS), and EIA Appointees.

2.A Laboratory Affiliate is an individual who renders personal services to the Laboratory on a short-term or infrequent basis. Laboratory Affiliates are not Laboratory employees.

C. AFFILIATE AGREEMENTS [LANL]

1.Authority to Enter into Agreements

a.The Laboratory may enter into Affiliate Agreements providing for daily fees up to and including five hundred dollars ($500). Agreements providing for daily fees in excess of this amount are subject to prior written approval by the Contracting Officer

b.When found necessary by the Laboratory for an Affiliate to render continuous service of six (6) months or more at Los Alamos, the Laboratory may enter into an agreement with such Affiliate providing for travel of his/her dependents and shipment of his/her household goods from the individual's business address and return to a point of no greater distance in accordance with Section XV, Travel. Such agreement shall not be entered into by the Laboratory when the Affiliate shall render continuous service of less than six (6) months except with the prior written approval of the Contracting Officer

c.Where the Laboratory has agreed to pay travel and transportation of the entire household goods of an Affiliate, the Laboratory shall not pay any prescribed per diem or actual expenses of such Affiliate after the arrival of his/her dependents in Los Alamos, except as set forth in Section XV, Travel. The Laboratory may resume payment of the per diem or payment of actual expenses during the return travel of such Affiliate, or when ordered on official travel by the Laboratory.

d.An Affiliate may be compensated while at his/her duty station in accordance with Section XV, Travel.

e.Each type of agreement used for Affiliates shall be as mutually agreed by the Contracting Officer and the Laboratory.

2.Payment of Fees

a.All Affiliates shall be paid in accordance with the applicable agreement with the Laboratory.

b.Travel and subsistence costs are authorized to be paid to Affiliates in accordance with Section XV, Travel except where otherwise provided for in the specific Affiliate Agreement. In case of illness or injury, subsistence allowance may be paid.

c.Borrowed Personnel may be paid their daily fees, subsistence allowance and reasonable travel expenses either directly by the Laboratory or through their regular employers as may be agreed upon by the Laboratory and such regular employers.

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