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B-186830 1 (1976-11-05)

handle is hein.gao/gaobaddza0001 and id is 1 raw text is: THE COMPTROLLER LNEIRAL DECISION . Yr THE UNITED STATES WASHINGTON, =3.C. 20543 FILE: B-186830 DATE: floveiber 5, 1976 MATTER OF: Richard S, Day - Tropical Differential . DIGEST: flployee placed in position within United States following reduction in force in Canal Zone requests ruling on whether tropical differential authorized by section 7(a)(2) of Act of July 25, 1958, 72 Stat. 407, may be included in rate of basic pay for purpose of applying highest previous rate rule. Question is based on provision of above-cited law requiring inclusion of tropical differ- entials as basic compensation for, inter alLa any other benefits which are related to basic compensation. In 39 Comp. Gen. 409 (1959) we held that tropical differential may not be includad in applying highest previous rate rule. This action is in response to the letter of Mr. Richard S. Day, dated June 22, 1976, in which a ruling is requested as to whether the tropical differential authorized by stction 7(a)(2) of the Act of July 25, 1958, Pub. L. NIo. 85-550, 72 Stat. 407, is included in the term rate o! basic pay for the purpose of applying the highest previous rate rule, 5 U.SC. § 5334 (1970). The information furnished shows that following separation from his position in the Canal Zone due to a reduction in force, Mr. Day was placed in a postion in the United States. However, in establishing the rtite of 'osic pay for the purpose of the highest previous ratc rule, the administrative agency involved excluded the tropical differential on the basis that it does not come within the scope of the definition of rate of basic pay found at 5 C.F.R. § 531.202(i) (1975). That provision, which serves to define the cerm rate of basiu pay for the purpose of the highest previous rate rule, is as follows: 'Rate of basic pay' means the rate of pay fixed by law or administrative action for the position held by an employee before any deductions and exclusive of additional pay of an; kind. 0 C

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