(a)
A locality rate may be paid only for those hours for which an employee is in a pay status.
(b)
Payment of, or an increase in, a locality rate is not an equivalent increase in pay within the meaning of 5 U.S.C. 5335. (See § 531.407(c).)
(c)
A locality rate is included in an employee's total remuneration, as defined in 5 CFR 551.511(b), and straight time rate of pay, as defined in 5 CFR 551.512(b), for the purpose of overtime pay computations under the Fair Labor Standards Act of 1938, as amended.
(d)
Consistent with § 531.610, a reduction or termination of a locality rate under § 531.609 is not an adverse action for the purpose of 5 CFR part 752, subpart D, or an action under 5 CFR 930.211.
Code of Federal Regulations
[70 FR 31305, May 31, 2005, as amended at 73 FR 66154, Nov. 7, 2008]