Yesterday, I wrote about another employee who was caught by Catch-62. Today, some good news. An  MSPB Administrative Judge reversed OPMs decision reducing a retiree’s benefits by finding that the retiree’s employing Agency had committed “administrative error”. (Click here to learn more about what administrative error is).

In this case, the employee was an Air Traffic Controller with the FAA. He was advised that so long as his total federal time (military and civilian) did not exceed 27 years, he would be entitled to receive an annuity worth 50% of his high-three. Further, he was advised by a benefits specialist that his annuity would not be reduced if he didn’t buy in his military time, as that would push him over the 27 year limit.

In fact, even after receiving OPM’s notice to reduce his annuity in 2007, this particular retiree contacted the FAA Southwest Region human resources office, which informed him that was still the FAA’s understanding – that an annuity won’t be reduced under the Air Traffic Controller provisions, for failure to make a military service credit deposit, so long as the total federal service is under 27 years.

This tells me a couple things – the FAA has grossly misinterpreted the rules affecting this employee’s annuity. The misinterpretation was so significant that the Administrative Judge commented on it in a footnote. This misinterpretation was still the FAA’s understanding as of 2007 – at least in the Southwest Regional Office. The FAA is a pretty large Agency, as Federal Agencies go. How many other employees of the FAA retired based on this same poor advice and misinterpretation by their Agency? How many other FAA employees have not made the military service credit deposit based on this same poor advice? How many other FAA employees will find out, at age 62, that their annuity is being reduced because their Agency can’t seem to get a basic handle on how the military service credit deposit works?

No post on this website is legal advice, is meant to be legal advice, and certainly does not serve as a substitute for legal advice. Information is power, and we are providing this information to give you, the federal employee, with some power. This information is not widely or easily accessible to Federal Employees.

It is best to consult with a lawyer familiar with Merit Systems Protection Board (MSPB) appeals to discuss the facts and law of your particular case. If you have questions about Catch 62 issues, or OPM’s reduction of your retirement annuity at age 62, contact an MSPB attorney at the Attig Law Firm, PLLC, to schedule a telephone consultation.