Lewis Wilson, Complainant,v.Donald H. Rumsfeld, Secretary, Department of Defense, Agency.

Equal Employment Opportunity CommissionMar 4, 2003
01a42717 (E.E.O.C. Mar. 4, 2003)

01a42717

03-04-2003

Lewis Wilson, Complainant, v. Donald H. Rumsfeld, Secretary, Department of Defense, Agency.


Lewis Wilson,

Complainant,

v.

Donald H. Rumsfeld,

Secretary,

Department of Defense,

Agency.

Appeal No. 01A42717

Agency No. 94REF006

DECISION

Complainant filed the captioned appeal concerning the agency's compliance

with a February 20, 2003 settlement agreement, as amended on March 4,

2003. The Commission accepts the appeal. See 29 C.F.R. � 1614.402;

29 C.F.R. � 1614.504(b); and 29 C.F.R. � 1614.405.

The settlement agreement provided, in pertinent part, that:

(2) The agency will retroactively promote complainant according to

the following time table:

Upgrade to GS-9, Step-7: effective

April 28, 1996

Quality Step Increase to GS-9, Step 8: effective April

27, 1997

Promotion to GS-11, Step 4: effective

December 21, 1997

Within-Grade Increase to GS-11, Step 5: effective December

19, 1999

10% Retention Allowance effective October

22, 2000

Quality Step Increase to GS-11, Step 6 effective February

11, 2001

Conversion to AD-11 effective

January 13, 2002

Leave Without Pay NTE October 5, 2002 effective May 3,

2002

Reassignment to Environmental Specialist, GS-9, Step 9: effective October

6, 2002

The agency will pay to the complainant any additional back pay

accrued as a result of these actions, with interest. The SF-50's

implementing all required pay adjustments will be forwarded

to the Defense Finance and Accounting Service (DFAS) by "WHS"

within 14 calendar days of the execution of this agreement;1

(3) It is the understanding of the parties that DFAS will calculate

back pay based upon the complainant's time and attendance records

currently in the DFAS data base, including overtime, that DFAS will

make deductions for complainant's retirement, life insurance and Thrift

Savings Plan [TSP] contributions, that DFAS will withhold estimated

state and federal income taxes and that DFAS will calculate interest on

the gross amount of the back pay pursuant to 5 U.S.C. � 5596 (b)(2).

The agency will request that DFAS complete the calculations and remit

the amount due to the complainant within 30 calendar days of receipt of

the SF-50's [as referenced above];

(4) Pursuant to the Last Chance agreement [executed by the parties on

September 30, 2002], the complainant will be assigned to the position of

Environmental Specialist, GS-028-09, Step 9, effective October 6, 2002.

The complainant's basic rate of pay, as defined at 5 C.F.R. � 102, will

be set at $61,382 per annum, and his total pay as of October 6, 2002,

will include the basic rate of pay plus locality pay, totaling $68,429

per annum. As long as the complainant continues to comply with the terms

of the Last Chance Agreement, the agency agrees to continue indefinitely

to pay complainant a total pay package including: the specified basic

rate of pay, plus locality and all other applicable pay adjustments,

as set forth in 5 C.F.R. �� 536,104, 536.205 and 536.209.

By letter to the agency dated April 28, 2003, complainant, through

his attorney, claimed that the agency failed to comply with the above

referenced provisions of the settlement agreement. Specifically,

complainant asserted that he had "not been retroactively promoted nor

has he received any back pay or had his current pay rate adjusted to

GS-028-09, Step 9, $68,429, per annum (save pay), effective retroactively

to 10/6/02." Next, on July 22, 2003, complainant notified the EEO office

that DFAS, without explanation, charged him with a $1,870.66 overpayment.

Then, on September 23, 2003, complainant, through his attorney, sent

a second letter of noncompliance. Therein, he claimed that he had not

received a "full and complete back pay computation worksheet from DFAS,

which, in turn, has caused his pay to be docked for reasons not yet made

clear to him." Additionally, complainant's attorney asserted that he

had not received "any calculation information regarding his TSP matching

fund contributions dating back to 1994, including interest payment;." and,

that he "believed" that there was an error in the setting of his pay rate.

Moreover, complainant's attorney indicated that he had been engaged in

an on-going discourse with the agency's legal counsel to obtain this

information, to include requesting a face-to-face meeting with pertinent

agency personnel to obtain clarification of these various calculations,

and indicated that he continues to desire such a meeting. As an

additional remedy, complainant, through his attorney, requested attorney's

fees and expenses incurred in obtaining the agency's compliance.

On March 10, 2004, complainant, through his attorney, filed the instant

appeal, indicating that the agency failed to formally respond to his

long and on-going attempts to resolve compliance issues, as set forth

in the above described correspondence. More specifically, complainant

acknowledged that the agency eventually promoted him retroactively

in accordance with the settlement agreement provisions, but that "it

has still been unable or incapable of determining the correct back pay"

which he is entitled to receive. Additionally, complainant requests that

the Commission order the agency to pay him all other appropriate relief,

including attorney's fees incurred since July 2003.

In response, the agency argues that it substantially complied with the

above referenced provisions. The agency indicates that it provided

DFAS with the SF-50's needed to implement the actions in the agreement

on March 24, 2003, and that a back pay check was issued on May 9, 2003.

However, the agency noted that on that same date it learned that DFAS

did not receive the SF-50's required to implement the "save pay" aspect

of the settlement agreement, but that personnel forwarded them in time

for complainant's May 9, 2003 pay check to reflect the correct salary.

The agency argues that as of May 9, 2003, it complied with the settlement

agreement. Specifically, the agency argues that as of that date,

complainant's base pay and total salary were set at the levels reflected

in the settlement agreement, and complainant's pay rate determinant

correctly specified his save pay status. The agency noted that these

changes were made retroactive to October 6, 2002, with complainant

receiving a lump sum for back pay and interest, as calculated by DFAS.

The agency attached pertinent documentation for verify these statements.

As further evidence of its good faith efforts to comply with the

settlement agreement, the agency noted that when complainant notified the

EEO office of the $1,870.66 overpayment, charged by DFAS, it attempted

to ascertain the reason for it, and requested that DFAS not make any

deductions to recover it. The agency attached pertinent documentation to

verify these statements. Additionally, with reference to complainant's

second noncompliance letter, the agency indicated that it provided his

attorney with copies of all SF-50's implementing the required pay status

changes, along with a pay period by pay period calculation from DFAS,

again providing copies of pertinent documentation.

The agency further explains that the pay calculations in this case

were unusually complex, and that for this reason, the parties agreed

to designate DFAS to make them. Regarding the assessed overpayment,

the agency asserts that DFAS provided a complete accounting, and that

there is no indication that the calculation are not based solely on

complainant's time and attendance records. The agency argues that because

complainant does not argue that the SF-50's used by DFAS are incorrect,

or that any of the calculations are improper, the determinations made

by DFAS, to include an assessed overpayment, are binding.

In concluding, the agency avers it complied with the settlement agreement

because it implemented all personnel actions, to include reinstating

complainant, with "save pay" at $68,429 per annum, and provided him with

back pay in two installments, along with the DFAS spreadsheets explaining

these payments, on February 2, 2003 and December 12, 2003.

By letter to the Commission dated August 3, 2004, complainant's attorney

notes receipt of a statement notifying complainant that the agency

was still working calculating his lost earnings and retroactive TSP

calculations, thereby undercutting the agency's position that it is in

compliance with the settlement agreement.

EEOC Regulation 29 C.F.R. � 1614.504(a) provides that any settlement

agreement knowingly and voluntarily agreed to by the parties, reached at

any stage of the complaint process, shall be binding on both parties.

The Commission has held that a settlement agreement constitutes a

contract between the employee and the agency, to which ordinary rules of

contract construction apply. See Herrington v. Department of Defense,

EEOC Request No. 05960032 (December 9, 1996). The Commission has further

held that it is the intent of the parties as expressed in the contract,

not some unexpressed intention, that controls the contract's construction.

Eggleston v. Department of Veterans Affairs, EEOC Request No. 05900795

(August 23, 1990). In ascertaining the intent of the parties with regard

to the terms of a settlement agreement, the Commission has generally

relied on the plain meaning rule. See Hyon O v. United States Postal

Service, EEOC Request No. 05910787 (December 2, 1991). This rule states

that if the writing appears to be plain and unambiguous on its face,

its meaning must be determined from the four corners of the instrument

without resort to extrinsic evidence of any nature. See Montgomery

Elevator Co. v. Building Eng'g Servs. Co., 730 F.2d 377 (5th Cir. 1984).

The agency provides documentary evidence that it implemented the personnel

actions specified in the above referenced provisions of the settlement

agreement, and that it provided DFAS with the necessary information

to process complainant's back pay, and to calculate the resulting

changes to the balances allocated to his benefits, such as his TSP fund.

Furthermore, the record reflects that the agency provided complainant's

attorney with copies of SF-50's and spreadsheets to explain how DFAS

made these calculations. Complainant asserts that he "believes" that

there are errors in these calculations, noting the agency's slower than

desired response to his inquiries and requests, and the DFAS assessed

overpayment. However, complainant provides no specific argument, or

evidence, demonstrating such error. After careful review of the record,

we find that the agency acted in good faith to fully implement the terms

of the settlement agreement. Moreover, even to the extent that there

are still some remaining adjustments on which DFAS is working, given

the complexity of the actions required by the settlement agreement, and

given that active compliance efforts continue, we find that the record

supports a finding that the agency has substantially complied with the

settlement agreement.

Accordingly, for the reasons set forth above, we AFFIRM the agency's

determination that it substantially complied with the settlement

agreement.

STATEMENT OF RIGHTS - ON APPEAL

RECONSIDERATION (M0701)

The Commission may, in its discretion, reconsider the decision in this

case if the complainant or the agency submits a written request containing

arguments or evidence which tend to establish that:

1. The appellate decision involved a clearly erroneous

interpretation of material fact or law; or

2. The appellate decision will have a substantial impact

on the policies, practices, or operations of the agency.

Requests to reconsider, with supporting statement or brief, must be filed

with the Office of Federal Operations (OFO) within thirty (30) calendar

days of receipt of this decision or within twenty (20) calendar days of

receipt of another party's timely request for reconsideration. See 29

C.F.R. � 1614.405; Equal Employment Opportunity Management Directive for

29 C.F.R. Part 1614 (EEO MD-110), 9-18 (November 9, 1999). All requests

and arguments must be submitted to the Director, Office of Federal

Operations, Equal Employment Opportunity Commission, P.O. Box 19848,

Washington, D.C. 20036. In the absence of a legible postmark, the

request to reconsider shall be deemed timely filed if it is received by

mail within five days of the expiration of the applicable filing period.

See 29 C.F.R. � 1614.604. The request or opposition must also include

proof of service on the other party.

Failure to file within the time period will result in dismissal of your

request for reconsideration as untimely, unless extenuating circumstances

prevented the timely filing of the request. Any supporting documentation

must be submitted with your request for reconsideration. The Commission

will consider requests for reconsideration filed after the deadline only

in very limited circumstances. See 29 C.F.R. � 1614.604(c).

COMPLAINANT'S RIGHT TO FILE A CIVIL ACTION (S0900)

You have the right to file a civil action in an appropriate United States

District Court within ninety (90) calendar days from the date that you

receive this decision. If you file a civil action, you must name as

the defendant in the complaint the person who is the official agency head

or department head, identifying that person by his or her full name and

official title. Failure to do so may result in the dismissal of your

case in court. "Agency" or "department" means the national organization,

and not the local office, facility or department in which you work. If you

file a request to reconsider and also file a civil action, filing a civil

action will terminate the administrative processing of your complaint.

RIGHT TO REQUEST COUNSEL (Z1199)

If you decide to file a civil action, and if you do not have or cannot

afford the services of an attorney, you may request that the Court appoint

an attorney to represent you and that the Court permit you to file the

action without payment of fees, costs, or other security. See Title VII

of the Civil Rights Act of 1964, as amended, 42 U.S.C. � 2000e et seq.;

the Rehabilitation Act of 1973, as amended, 29 U.S.C. �� 791, 794(c).

The grant or denial of the request is within the sole discretion of

the Court. Filing a request for an attorney does not extend your time

in which to file a civil action. Both the request and the civil action

must be filed within the time limits as stated in the paragraph above

("Right to File A Civil Action").

FOR THE COMMISSION:

______________________________

Carlton M. Hadden, Director

Office of Federal Operations

July 14 ,2006

__________________

Date

11 The record reveals that on March 4, 2003, WHS Personnel and Security

(Personnel) notified the agency's General Counsel that they did not

believe they could process the February 20, 2003 settlement agreement

as written. Therefore, the parties amended the settlement agreement to

change "Within Grade Increase to GS-11, Step 6, effective February 16,

2001," to a "Quality Step Increase, effective February 11, 2001," and

changing the effective date of the conversion to AD-11 from January 1,

2002 to January 13, 2002.

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01A42717

U.S. EQUAL EMPLOYMENT OPPORTUNITY COMMISSION

Office of Federal Operations

P. O. Box 19848

Washington, D.C. 20036

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01A42717