5 C.F.R. § 591.206

How does OPM establish COLA areas?

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(a) OPM designates, within nonforeign areas, areas where agencies pay employees a COLA by virtue of living costs that are substantially higher than those in the Washington, DC, area. In establishing the boundaries of COLA areas, OPM considers—

(1) The existence of a well-defined economic community,

(2) The availability of consumer goods and services,

(3) The concentration of Federal employees covered by this subpart, and

(4) Unique circumstances related to a specific location.

(b) If a department or agency wants OPM to consider establishing or revising the definition of a COLA area, the head of the department or agency or his or her designee must submit a request in writing to OPM.

Notes of Decisions
Cited in 1 case, 1982–1982 · leading case: Alaniz v. Off. of Pers. Mgmt., 545 F. Supp. 1182 (D. Alaska 1982).
Alaniz v. Off. of Pers. Mgmt., 545 F. Supp. 1182 (D. Alaska 1982). “*1189 The regulation at 5 C.F.R. § 591.206 provides that cost of living survey findings shall be used to calculate a comparative cost index between Washington, D.”
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