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service of the United States constitutes service rendered in line of duty in such office, employment, or force. However, the performance of such service by any other individual shall not constitute such individual an officer or employee of the United States for the purposes of the Federal Employees' Compensation Act.

PAYMENT OF VETERANS' PENSIONS; PEACETIME SERVICE

DISABILITY

For information pertaining to election of benefits for peacetime service disability or death see Part IV A, entitled Military Extensions— Repeal of Coverage, and the footnotes thereto. Veterans Regulations No. 1 (a) Part II promulgated pursuant to ch. 12, title 38 U.S.C. (omitted from the 1958 recodification of Title 38 U.S.C.) provides as follows:

* * * Pension under this paragraph shall not be paid concurrently with active duty pay or employees' compensation. Where a person who is eligible for pension hereunder is also eligible for the benefits of Employees' Compensation Act, he shall elect which benefit he shall receive.

CIVIL SERVICE RETIREMENT ANNUITY ACT PROVISIONS RELATING TO COMPENSATION BENEFITS

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15 8No person shall be entitled to receive an annuity under the provisions of this Act, and compensation for injury or disability to himself under the provisions of the Act of September 7, 1916, entitled "An Act to provide compensation for employees of the United States suffering injuries while in the performance of their duties, and for other purposes,' covering the same period of time; but this provision shall not be so construed as to bar the right of any claimant to the greater benefit conferred by either Act for any part of the same period of time, nor shall this provision nor any provision in such Act of September 7, 1916, be construed so as to deny to any person an annuity accruing to such person under this Act on account of service rendered by him, or to deny any concurrent benefit to such person under such Act of September 7, 1916, on account of the death of any other person.

Notwithstanding any provision of law to the contrary, the right of of any person entitled to an annuity under this Act shall not be affected because such person has received an award of compensation in a lump sum under section 14 of such Act of September 7, 1916 (5 U.S.C. 751), except that where such annuity is payable on account of the same disability for which compensation under section 14 of such Act of September 7, 1916, has been paid, so much of such compensation as has been paid for any period extended beyond the date such annuity becomes effective, as determined by the Secretary of Labor, shall be refunded to the Department of Labor, to be covered into the Federal Employees' Compensation Fund. Before such person shall receive such annuity he shall (1) refund to such Department the amount representing such commuted payments for such extended period, or (2) authorize the deduction of such amount from the annuity payable to him under this Act, which amount shall be transmitted to such Department for reimbursement

168Act of July 3, 1926, 44 Stat. 907; Act of May 29, 1930, 46 Stat. 472; Act of December 23, 1944, 58 Stat. 927; Act of July 27, 1946, 60 Stat. 706. See also 5 USC 8116.

to such fund. Deductions from such annuity may be made from accrued and accruing payments, or may be prorated against and paid from accruing payments in such manner as the Secretary shall determine, whenever he finds that the financial circumstances of the annuitant are such as to warrant such deferred refunding.

ABOLITION OF COMMISSION AND TRANSFER OF FUNCTIONS

ESTABLISHMENT OF THE BUREAU OF EMPLOYEES' COMPENSATION SEC. 3 of 1946 Reorganization Plan No. 2, effective July 16, 1946, 11 F.R. 7873, 60 Stat. 1096, provided as follows:

"The Functions of the United States Employees' Compensation Commission are transferred to the Federal Security Agency and shall be performed in such manner and under such rules and regulations as the Federal Security Administrator shall prescribe. Such regulations shall provide for a board of three persons to be designated or appointed by the Federal Security Administrator with authority to hear and, subject to applicable law, make final decision on appeals taken from determinations and awards with respect to claims of employees of the Federal Government or of the District of Columbia. The United States Employees' Compensation Commission is abolished."

Effective July 16, 1946, the Federal Security Administrator established the Bureau of Employees' Compensation under the supervision of a Director and delegated, to be performed by him, all the duties, powers, and functions of the United States Employees' Compensation Commission which were transferred to the Administrator by Reorganization Plan No. 2 of 1946, except estimates to the Bureau of the Budget and annual and other reports to Congress. See Agency Order No. 58, dated July 16, 1946, 11 F.R. 7943.

TRANSFER OF THE FUNCTIONS OF THE BUREAU TO THE DEPARTMENT OF LABOR

SEC. 1 of Reorganization Plan No. 19 of 1950, effective May 24, 1950, 15 F.R. 3178, 39 Stat. 742, provided as follows:

"The Bureau of Employees' Compensation of the Federal Security Agency, together with its functions, is transferred to the Department of Labor and shall be administered under the direction and supervision of the Secretary of Labor. The functions of the Federal Security Administrator, and of the Federal Security Agency, with respect to the Bureau of Employees' Compensation and with respect to employees' compensation (including workmen's compensation) are transferred to the Secretary of Labor: Provided, That there are not transferred by the provisions of this reorganization plan (1) any function of the Public Health Service; (2) any function of the Federal Security Agency or the Federal Security Administrator under the Vocational Rehabilitation Act, as amended (including the function of assuring the development and accomplishment of State rehabilitation plans affecting beneficiaries under the Federal Employees' Compensation Act); nor (3) the function of developing or establishing rehabilitation services or facilities. The functions transferred by the provisions of this section shall be performed by the Secretary of Labor, or, subject to his direction and control, by

such officers, agencies, and employees of the Department of Labor as
he shall designate."

Effective May 24, 1950, the Secretary of the Department of Labor
directed that all functions, powers, and duties vested in the Secretary
of Labor under sec. 1 of Reorganization Plan No. 19 of 1950 would be
performed by or under the direction of the Director of the Bureau of
Employees' Compensation except those functions relating to (1) per-
sonnel and business management, (2) the preparation and submission
of annual and other reports and recommendations to Congress, and
(3) so much of the functions, duties, and powers authorized under sec-
tion 41 of the Longshoremen's and Harbor Workers' Compensation
Act, and as authorized under section 33 (b) and (c) of the Federal Em-
ployees' Compensation Act, as relate to safety investigations, recom-
mendations to employers, and the developing, supporting and foster-
ing of organized safety promotion. See Department of Labor General
Order No. 46, dated May 24, 1950, and Amendment No. 1 of September
6, 1950 and General Order No. 46 (Revised), dated October 13, 1959
(24 F.R. 72).

ESTABLISHMENT OF THE EMPLOYEES' COMPENSATION APPEALS BOARD
Federal Security Agency Order No. 58, dated July 16, 1946, 11 F.R.
7943, established an Employees' Compensation Appeals Board to hold
hearings and make decisions on appeals taken from determinations and
awards, with respect to claims of employees of the Federal Govern-
ment or of the District of Columbia, under the Federal Employees'
Compensation Act. For regulations governing such appeals see 20
CFR, Parts 501 and 502.

TRANSFER OF THE FUNCTIONS OF THE EMPLOYEES' COMPENSATION APPEALS
BOARD TO THE DEPARTMENT OF LABOR

SEC. 2 of Reorganization Plan No. 19 of 1950, effective May 24, 1950,
15 F.R. 3178, 39 Stat. 742, provided as follows:

"The Employees' Compensation Appeals Board of the Federal Se-
curity Agency, together with the functions thereof, is transferred to
the Department of Labor. The functions of the Federal Security Ad-
ministrator with respect to the Employees' Compensation Appeals
Board are transferred to the Secretary of Labor. The Board shall con-
tinue to have authority to hear and, subject to applicable law and the
rules and regulations of the Secretary of Labor, to make final decision
on appeals taken from determinations and awards with respect to claims
of employees of the Federal Government or of the District of Columbia."
See Department of Labor General Order No. 46 (Revised), dated Oc-
tober 13, 1959 (24 F.R. 72).

U.S. GOVERNMENT PRINTING OFFICE: 1970 0-361-188

MILITARY PERSONNEL AND CIVILIAN

EMPLOYEES' CLAIMS ACT OF 1964

31 U.S.C. 240-243, 78 Stat. 767, P.L. 88-558; 79 Stat. 789, P.L. 89-185 § 240. Settlement of claims of military and civilian personnel for damages to or loss of personal property incident to service; definitions.

As used in this Act

(1) "agency" includes an executive department, military department, independent establishment, or corporation primarily acting as an instrumentality of the United States, but does not include any contractor with the United States;

(2) "uniformed services" means the Army, Navy, Air Force, Marine Corps, Coast Guard, Coast and Geodetic Survey, and Public Health Service; and

(3) "settle" means consider, ascertain, adjust, determine, and dispose of any claim, whether by full or partial allowance or disallowance.

(4) "military department" means Department of the Army, Department of the Navy, and the Department of the Air Force. (Pub. L. 88-558, § 2, Aug. 31, 1964, 78 Stat. 767; Pub. L. 89-185, § 3 (a), Sept. 15, 1965, 79 Stat. 789.)

AMENDMENTS

1965-Par. (1). Pub. L. 89-185 inserted military department in the definition of "agency".

Par. (4). Pub. L. 89-185 added par. (4) defining "military department”.

SHORT TITLE

Section 1 of Pub. L. 88-558 provided: "That this Act [which enacted sections 240-242 of this title, amended section 2735 of Title 10, and repealed section 2732 of Title 10 and section 490 of Title 14] may be cited as the 'Military Personnel and Civilian Employees' Claims Act of 1964'."

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 241, 243 of this title.

§ 241. Same; payments.

(a) Authority of heads of military departments and Secretary of the Treasury; claims by members of uniformed services; limitation; replacement of property in kind; authority of Department of Defense over claims of civilian employees; payments to survivors.

(1) Under such regulations as the head of an agency may prescribe, he or his designee may settle and pay a claim arising after the effective date of this Act against the United States for not more than (1039)

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