(a)Basis for filing an application for an employee. An agency must file an application for disability retirement of an employee who has 18 months of Federal civilian service when all of the following conditions are met: (1) The agency has issued a decision to remove the employee; (2) The agency concludes, after its review of medical documentation, that the cause for unacceptable performance, attendance, or conduct is disease or injury; (3) The employee is institutionalized, or the agency concludes