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Office of Personnel Management
Federal Personnel Manual System
SSUNBECT: Nonforeign Area Cost of Living Allowanci
.Federal Housing Allowance Categories in
and the Virgin Islands Allowance Areas
Heads of Departments and Independent Establishments:
The Office of Personnel Management has completed
.. i; fnr rhn aAeral olRsino alinwrane rateoaries in Hi
e for the
FPM Letter 591-32
Published in advance
of incorporation in FPM
RETAIN UNTIL SUPRsED
Washington, D. C. 20415
its review of the MP lr living al'i
awaii and the Vir lA lands. The a1%
is paid to eligible employees under 5 U.S.C. 5941, Executive Orde 00, and part 591
the Office's regulations. This letter announces the results of t; 19a8 8wp6 g in
Approved Allowance Rates ,,a
The allowance rates approved for each allowance area and category ba b e e
shown in the attachment to this letter. )gSrl
The 1978 survey results for the Private Housing allowance categories are contained in FPM
Letter 591-29 for Hawaii and in FPM Letter 591-30 for the Virgin Islands. The cost data
provided by agencies on Federal housing units in Hawaii and the Virgin Islands were not
considered adequate for review purposes. Accordingly, a supplementary survey was undertaken.
This FPM Letter announces the results of the supplementary survey.
Effective Date.of Allowance Rate Adjustments
The effective date of the adjustments as shown in the attachment is the first pay period
that begins on or after February 25,1979.
Agencies are requested to inform employees in the pertinent areas of the actions approved
concerning, the cost of living allowance program. When doing so they should advise employees
that the allowance rates are subject to change, up or down, after each review. It is also
important that they understand that the law does not provide for an allowance to compensate
for increases in the cost of living, as such. Rather, the law provides for an allowance to
compensate for the differences in living costs between Washington, D.C., and the nonforeign
areas when living costs are substantially higher than in Washington, D.C.
Cost of living allowances authorized for nonforeign areas are payable in accordance with part
591 of the regulations of the Office of Personnel Management.
rdericK A. istler
Deputy Associate Director
for Compensation Operations
Inquiries: Office of Allowances and Special Rates, Compensation Division, ext. 28742 or 63-23742
Code: 591, Allowances and Differentials Payable in Nonforeign Areas
Attachment to FPM Ltr. 591-32
This attachment shows the cost of living allowance rates for Federal Housing allowance
categories in Hawaii and the Virgin Islands. It also includes definitions of the allow-
ance categories for use in determining employee eligibility for an allowance.
The Private Housing allowance category indexes and allowance rates are contained in FPM
Letter 591-29 for Hawaii and FPM Letter 591-30 for the Virgin Islands.
GEOGRAPHIC COVERAGE/ ALLOWANCE
ALLOWANCE CATEGORY INDEX RATE
State of Hawaii
ISLAND OF OAHU
Allowance Category Index Rate
Local Retail/ 105.4 5.0%
Commissary/PX/ 91.5 -0-
ISLAND OF KAUAI
ISLAND OF HAWAII
-- -------- ----_-_ ---- ----_-----------------
ST. THOMAS AND ST. JOHN
* The word "none" means that the allowance category does not exist in the allowance
area and the appropriate local retail index and allowance rate applies depending
on the type of housing occupied.
determined by the appropriate military department. If an employee is
furnished commissary/exchange privileges for reasons associated with his
or her Federal civilian employment, he or she will have an identification
card that authorizes access to the facilities. Possession of such an
identification card i.e., one issued by reason of his or her Federal
civilian employment, is sufficient evidence that the employee uses the
facilities. Similarly, the fact th t an employee who has been authorized
to occupy a Federally owned or leased housing unit as a condition of his
or her Federal civilian employment actually occupies the unit is evidence
that the unit is "used".
Agencies should adopt whatever methods are appropriate to obtain ftom
employees the information needed to determine the applicable allowance
U. S. GOVERNMENT PRINTING OFFICE i 1979 0 29bii.
UNIVERSITY OF FLORIDA
3 1262 08741 9288
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