PUBLIC LAW 107-296—NOV. 25, 2002 116 STAT. 2291 "(c)(1) An appointing official may select any applicant in the highest quality category or, if fewer than 3 candidates have been assigned to the highest quality category, in a merged category consisting of the highest and the second highest quality categories. "(2) Notwithstanding paragraph (1), the appointing official may not pass over a preference-eligible in the same category from which selection is made, unless the requirements of section 3317(b) or 3318(b), as applicable, are satisfied. "(d) Each agency that establishes a category rating system Reports. under this section shall submit in each of the 3 years following that establishment, a report to Congress on that system including information on— "(1) the number of employees hired under that system; "(2) the impact that system has had on the hiring of veterans and minorities, including those who are American Indian or Alaska Natives, Asian, Black or African American, and native Hawaiian or other Pacific Islanders; and "(3) the way in which managers were trained in the administration of that system. "(e) The Office of Personnel Management may prescribe such regulations as it considers necessary to carry out the provisions of this section.". (b) TECHNICAL AND CONFORMING AMENDMENT.— The table of sections for chapter 33 of title 5, United States Code, is amended by striking the item relating to section 3319 and inserting the following: "3319. Alternative ranking and selection procedures.". SEC. 1313. PERMANENT EXTENSION, REVISION, AND EXPANSION OF AUTHORITIES FOR USE OF VOLUNTARY SEPARATION INCENTIVE PAY AND VOLUNTARY EARLY RETIREMENT. (a) VOLUNTARY SEPARATION INCENTIVE PAYMENTS.— (1) IN GENERAL.— (A) AMENDMENT TO TITLE 5, UNITED STATES CODE.— Chapter 35 of title 5, United States Code, is amended by inserting after subchapter I the following: "SUBCHAPTER II—VOLUNTARY SEPARATION INCENTIVE PAYMENTS " § 3521. Definitions "In this subchapter, the term— "(1) 'agency' means an Executive agency as defined under section 105; and "(2)'employee'— "(A) means an employee as defined under section 2105 employed by an agency and an individual employed by a county committee established under section 8(b)(5) of the Soil Conservation and Domestic Allotment Act (16 U.S.C. 590h(b)(5)) who— "(i) is serving under an appointment without time limitation; and "(ii) has been currently employed for a continuous period of at least 3 years; and "(B) shall not include—
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