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the Vice Chairman shall perform the functions vested in the Chairman by section 1104 of this title.

(c) During the absence or disability of both the Chairman and the Vice Chairman, or when both offices are vacant, the remaining Commissioner shall perform the functions vested in the Chairman by section 1104 of this title.

(d) There is under the Chairman an Executive Director, who is appointed in the competitive service by the Chairman. During the absence or disability of all three Commissioners, or when the offices of the three Commissioners are vacant, the Executive Director shall perform the functions vested in the Chairman by section 1104 of this title. However, the Executive Director may not sit as a member or acting member of the Commission. (Pub. L. 89–554, Sept. 6, 1966, 80 Stat. 399.) 8 1104. Functions of Chairman

(a) The following functions are vested in the Chairman, United States Civil Service Commission, and shall be performed by him or, subject to his direction and control by such employees under his jurisdiction as he designates

(1) acting with Civil Service Commission boards of examiners, so far as practicable, to secure accuracy, uniformity, and justice in their proceedings;

(2) appointing individuals employed under the Commission, including an employee to have such functions and duties with respect to retirement, life insurance, and health benefits programs as the Commission may prescribe, except that

(A) employees who are engaged regularly and full time in assisting the Commission in the performance of functions reserved to it by subsection (b) of this section are appointed by the Commission; and

(B) the regional directors and the heads of the major administrative units reporting directly to the Chairman or Executive Director are appointed by the Chairman only after

consultation with the other Commissioners; (3) directing, and supervising activities of, employees of Commission, distributing business among employees and organizational units of the Commission, and directing the internal management of the affairs of the Commission, except that the functions named by this paragraph do not include functions with respect to employees whose appointments remain vested in the Commission by paragraph (2) (A) of this subsection;

(4) directing the preparation of requests for appropriations and the use and expenditure of funds; (5) executing, administering, and enforcing

(A) the civil service rules and regulations of the President and the Commission and the statutes governing the same; and

(B) the other activities of the Commission including retirement and classification activities; and

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(6) reviewing the operations under chapter 87 of this title and advising the Commission on matters of policy relating to its

activities thereunder. (b) The functions named by subsection (a) (5) of this section do not include functions of the Commission with respect to

(1) the preparation of rules under section 1301 of this title, and the making of an annual report under section 1308 (a) (1) of this title;

(2) the prescription of rules, regulations, or similar policy directives;

(3) the prevention of pernicious political activities, including functions under chapter 15 and section 1302(d) of this title;

(4) the hearing or providing for the hearing of appeals, including appeals with respect to examination ratings, veterans' preference, racial and religious discrimination, disciplinary action, performance ratings, and dismissals, and the taking of final action on those appeals;

(5) the recommendation to the President for transmittal to Congress of such legislative or other measures as will promote an efficient civil service and a systematic application of merit system principles, including measures relating to the selection, promotion, transfer, performance, pay, conditions of service, tenure, and separation of employees;

(6) the investigation of matters pertaining to the administration of functions of the Commission or Chairman; or

(7) the submission of requests for appropriations to the Bureau of the Budget. (Pub. L. 89–554, Sept. 6, 1966, 80 Stat. 399, amended Pub. L. 90–83, $ 1(2), Sept. 11, 1967, 81 Stat. 195.) 81105. Boards of examiners

(a) The Civil Service Commission shall, in the District of Columbia, and in one or more places in each State and territory or possession of the United States where examinations are to be held, designate at least three individuals in the service of the United States, residing in the State or territory or possession, to be members of Civil Service Commission boards of examiners. The Commission shall consult the head of the agency in which the individuals are serving before designating them as members of a board of examiners. The Commission may at any time substitute another individual residing in the State or territory or possession for one serving as a member of a board of examiners. The boards of examiners shall be so located as to make it reasonably convenient and inexpensive for applicants to attend before them.

(b) The proceedings of the boards of examiners are open to the Chairman, United States Civil Service Commission. (Pub. L. 89-554, Sept. 6, 1966, 80 Stat. 400.)

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CHAPTER 13-SPECIAL AUTHORITY Sec. 1301. Rules. 1302. Regulations. 1303. Investigations; reports. 1304. Loyalty investigations; reports ; revolving fund. 1305. Hearing examiners. 1306. Oaths to witnesses. 1307. Minutes. 1308. Annual reports. 8 1301. Rules

The Civil Service Commission shall aid the President, as he may request, in preparing the rules he prescribes under this title for the administration of the competitive service. (Pub. L. 89-554, Sept. 6, 1966, 80 Stat. 401.) 8 1302. Regulations

(a) The Civil Service Commission, subject to the rules prescribed by the President under this title for the administration of the competitive service, shall prescribe regulations for, control, supervise, and preserve the records of, examinations for the competitive service.

(b) The Commission shall prescribe and enforce regulations for the administration of the provisions of this title, and Executive orders issued in furtherance thereof, that implement the Congressional policy that preference shall be given to preference eligibles in certification for appointment, and in appointment, reinstatement, reemployment, and retention, in the competitive service in Executive agencies, permanent or temporary, and in the government of the District of Columbia.

(c) The Commission shall prescribe regulations for the administration of the provisions of this title that implement the Congressional policy that preference shall be given to preference eligibles in certification for appointment, and in appointment, reinstatement, reemployment, and retention, in the excepted service in Executive agencies, permanent or temporary, and in the government of the District of Columbia.

(d) The Commission may prescribe reasonable procedure and regulations for the administration of its functions under chapter 15 of this title. (Pub. L. 89–554, Sept. 6, 1966, 80 Stat. 401.) 8 1303. Investigations; reports

The Civil Service Commission may investigate and report on matters concerning

(1) the enforcement and effect of the rules prescribed by the President under this title for the administration of the competitive service and the regulations prescribed by the Commission under section 1302(a) of this title; and

(2) the action of an examiner, a board of examiners, and other employees concerning the execution of the provisions of this title

that relate to the administration of the competitive service. (Pub. L. 89-554, Sept. 6, 1966, 80 Stat. 401.)

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8 1304. Loyalty investigations; reports; revolving fund

(a) The Civil Service Commission shall conduct the investigations and issue the reports required by the following statutes

(1) sections 2726, 2816(e), 290a, and 1434 of title 22;
(2) section 1874(c) of title 42; and

(3) section 1203(e) of title 6, District of Columbia Code. (b) When an investigation under subsection (a) of this section develops data indicating that the loyalty of the individual being investigated is questionable, the Commission shall refer the matter to the Federal Bureau of Investigation for a full field investigation, a report of which shall be furnished to the Commission for its information and appropriate action.

(c) When the President considers it in the national interest, he may have the investigations of a group or class, which are required by subsection (a) of this section, made by the Federal Bureau of Investigation rather than the Commission.

(d) The investigation and report required by subsection (a) of this section shall be made by the Federal Bureau of Investigation rather than the Commission for those specific positions which the Secretary of State certifies are of a high degree of importance or sensitivity.

(e) (1) A revolving fund of $4,000,000 is available, to the Commission without fiscal year limitation, for financing investigations, training, and such other functions as the Commission is authorized or required to perform on a reimbursable basis. However, the functions which may be financed in any fiscal year by the fund are restricted to those functions which are covered by the budget estimates submitted to the Congress for that fiscal year. To the maximum extent feasible, each individual activity shall be conducted generally on an actual cost basis over a reasonable period of time. (2) The capital of the fund consists of the aggregate of

(A) appropriations made to provide capital for the fund; and

(B) the sum of the fair and reasonable value of such supplies, equipment, and other assets as the Commission from time to time transfers to the fund (including the amount of the unexpended balances of appropriations or funds relating to activities the financing of which is transferred to the fund) less the amount of related liabilities, the amount of unpaid obligations, and the value of accrued annual leave of employees, which are attributable

to the activities the financing of which is transferred to the fund. (3) The fund shall be credited with

(A) advances and reimbursements from available funds of the Commission or other agencies, or from other sources, for those services and supplies provided at rates estimated by the Commission as adequate to recover expenses of operation (including provision for accrued annual leave of employees and depreciation of equipment); and

(B) receipts from sales or exchanges of property, and payments for loss of or damage to property, accounted for under the fund. (4) Any unobligated and unexpended balances in the fund which the Commission determines to be in excess of amounts needed for activities financed by the fund shall be deposited in the Treasury of the United States as miscellaneous receipts.

(5) The Commission shall prepare a business-type budget providing full disclosure of the results of operations for each of the functions performed by the Commission and financed by the fund, and such budget shall be transmitted to the Congress and considered, in the manner prescribed by law for wholly owned Government corporations.

(6) The Comptroller General of the United States shall, as a result of his periodic reviews of the activities financed by the fund, report and make such recommendations as he deems appropriate to the Committees on Post Office and Civil Service of the Senate and House of Representatives at least once every three years.

(f) An agency may use available appropriations to reimburse the Commission or the Federal Bureau of Investigation for the cost of investigations, training, and functions performed for them under this section, or to make advances toward their cost. These advances and reimbursements shall be credited directly to the applicable appropriations of the Commission or the Federal Bureau of Investigation.

(g) This section does not affect the responsibility of the Federal Bureau of Investigation to investigate espionage, sabotage, or subversive acts. (Pub. L. 89-554, Sept. 6, 1966, 80 Stat. 401, amended Pub. L. 91–189, Dec. 30, 1969, 83 Stat. 851.) $ 1305. Hearing examiners

For the purpose of sections 3105, 3344, 4301 (2) (E), 5362, and 7521 of this title and the provisions of section 5335(a) (B) of this title that relate to hearing examiners, the Civil Service Commission may investigate, require reports by agencies, issue reports, including an annual report to Congress, prescribe regulations, appoint advisory committees as necessary, recommend legislation, subpena witnesses and records, and pay witness fees as established for the courts of the United States. (Pub. L. 89–554, Sept. 6, 1966, 80 Stat. 402, amended Pub. L. 90–83, § 1(3), Sept. 11, 1967, 81 Stat. 196.) 8 1306. Oaths to witnesses

Each Civil Service Commissioner, including the Chairman, and authorized representatives of the Commission or Chairman, may administer oaths to witnesses in matters pending before the Commission. (Pub. L. 89–554, Sept. 6, 1966, 80 Stat. 402.) § 1307. Minutes

The Civil Service Commission shall keep minutes of its proceedings. (Pub. L. 89-554, Sept. 6, 1966, 80 Stat. 402.) $ 1308. Annual reports

(a) The Civil Service Commission shall make an annual report to the President for transmittal to Congress. The report shall include

(1) a statement of the Commission's actions in the administration of the competitive service, the rules and regulations and exceptions thereto in force, the reasons for exceptions to the rules, the practical effects of the rules and regulations, and any recommendations for the more effectual accomplishment of the purposes of the provisions of this title that relate to the administration of the competitive service;

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