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"District Director" means a district director of the IRS.

"Exception" means an order issued by the Board to a person as defined by §201.3 of this chapter waiving requirements of a specific rule, regulation, or order issued pursuant to the Act.

"Hearing Officer" means a person appointed by the Board for purposes of conducting a hearing in accordance with Subparts B, C, and E of this part.

"IRS" means the Internal Revenue Service.

"Pay adjustment" means a change in wages or salaries.

"Pay Challenge" means a objection to a pay adjustment as set forth in § 201.14 of this chapter, filed by

(1) A party at interest as defined in § 201.3 of this chapter; or

(2) Five or more members of the Board.

"Person aggrieved" means a person with a substantial pecuniary interest in a pay adjustment which is the subject of an adverse action, such as

(1) An employer who proposes or puts into effect a pay adjustment, or his duly authorized bargaining representative; or

(2) An employee whose wage or salary is subject to a pay adjustment, or his duly authorized bargaining representative.

"Petition" means a written objection to a ruling or regulation promulgated by the Board, or a request for the Board to issue a ruling or regulation.

"Regulation" means a regulation issued by the Board which appears in Chapter II of Title 6, Code of Federal Regulations.

§ 205.3 Representation.

Representation by counsel or other individuals under this part shall be in accordance with the rules governing authority to practice before IRS prescribed in § 401.702 of this title.

§ 205.4 Filing of documents.

A document required to be filed directly with the Board under this chapter is considered filed if it has been received at Pay Board offices, 2000 M Street NW., Washington, DC 20508. Documents received after regular business hours are deemed filed on the next regular business day.

§ 205.5 Computation of time.

(a) In computing any period of time prescribed or allowed by this part for the

performance of any act, the day of the act, event, or default on which the designated period of time begins to run will not be counted.

(b) If the last day of the period falls on a Saturday, Sunday, or a Federal legal holiday, the period will be extended to the next day which is not a Saturday, Sunday, or Federal legal holiday.

(c) If the period prescribed or allowed is 7 days or less, an intervening Saturday, Sunday, or Federal legal holiday will not be counted.

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(a) All documents required to be served under this part are to be served personally or by registered or certified mail.

(b) Wherever a person is represented by a duly authorized representative, service on the representative shall constitute service on the person.

(c) A certificate of service shall be filed for each document served.

(d) Service by registered or certified mail is complete upon mailing.

§ 205.7 Extensions of time.

If an action is required to be taken within a prescribed time, an extension of time will be granted only upon a showing of good cause.

§ 205.8

Subpenas; witness fees.

(a) The Chairman of the Board or his duly authorized agent may issue subpenas in response to a written application of a party to the proceedings or on his own motion.

(b) A subpena may require the attendance of witnesses and the production of relevant papers, books, and documents in the possession or under the control of the person served.

(c) A subpena may be served by any person who is not a party and not less than 18 years of age.

(d) The original subpena bearing a certificate of service shall be filed with the issuing official.

(e) A witness subpenaed by any party shall be paid the same fees and mileage as are paid for like service in the District Courts of the United States. The witness fees and mileage shall be paid by the party at whose instance the subpena was issued.

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tion, two or more appeals or requests for exception or pay challenges which involve substantially the same parties or issues which are closely related, may be consolidated if it is found that such consolidation will expedite the proceedings. Subpart B-Appeals from Adverse Actions

§ 205.20 Purpose and scope.

(a) The purpose of this subpart is to establish the rules of practice of the Board which govern the conduct of its administrative review proceedings.

(b) The Board has jurisdiction to consider and decide appeals from adverse actions by IRS.

(c) The Board may review all relevant questions of law and fact.

(d) Review will be limited to the evidence in the record before IRS at the time of the latter's action, except as otherwise directed by the Board. § 205.21

Who may appeal.

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(a) The Board will determine whether the appeal makes a prima facie showing that the adverse action was erroneous in fact or in law.

(b) Where the Board determines that the appeal has failed to make a prima facie showing, the Board may summarily reject the appeal, notify the appellant of its action, and advise him that he has exhausted his administrative remedies, and that he may seek judicial review under the Act.

(c) Where the Board determines that the appellant has made a prima facie showing, it will proceed in accordance with the provisions of §§ 205.26 through 205.28.

§ 205.26 Obtaining record.

(a) Upon receipt of a copy of an appeal, the office which took the adverse action on the subject of the appeal will forward to the Board its entire file on the matter.

(b) This file, together with the appeal and briefs, if any, and any statement submitted by IRS will constitute the record on appeal.

(c) The Board on its own motion may request any additional evidence it deems necessary.

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(a) If the Board in its discretion deems that a hearing is advisable, it may direct that an informal hearing be held before a Hearing Officer.

(b) Where a hearing has been provided for in accordance with this section, it will be conducted within 10 days after written notice to the appellant at such time and place as the Board may direct.

(c) Where a hearing is conducted in accordance with this section, the appellant may present oral argument and submit such additional documentary evidence as is deemed necessary to fully disclose the position of the appellant.

(d) The Hearing Officer, if one is appointed, will submit to the Board a report and any recommendation he deems appropriate with respect to the appellant's request for relief. Such report and recommendation will be submitted within 10 days after the close of the hearing, if administratively practicable. § 205.28 Decision by Board.

Within 10 days of receipt of an appeal or within 10 days of a Hearing Officer's

report, if a hearing has been provided for, or as soon thereafter as practicable

(a) The Board will issue a decision in writing directed to the appellant setting forth its decision, the basis therefor, and an appropriate order;

(b) A copy of the decision and order will be served upon each party to the proceedings; and

(c) If the decision denies the relief requested, in whole or in part, each party will be advised that he may seek judicial review under the Act.

Subpart C-Requests for Exceptions and Pay Challenges

§ 205.30 Purpose and scope.

(a) The purpose of this subpart is to establish procedures for initial action by the Pay Board on requests for exceptions or pay challenges and for reconsideration by the Pay Board of denials of such requests or challenges.

(b) This subpart shall not apply to those requests for exceptions or pay challenges in which initial action is taken by IRS pursuant to authority delegated by the Pay Board. In those cases on which initial action is taken by IRS, appeals from adverse actions may be filed with the Pay Board in accordance with the regulations under Subpart B of this part.

(c) In all cases under paragraph (a) or (b) of this section, filing and processing, if appropriate, of—

(1) Requests for exceptions shall be in accordance with the regulations issued under Subpart D of Part 401 of this title, and

(2) Pay challenges shall be in accordance with the regulations issued under Subpart E of Part 401 of this title. § 205.31 Initial action on requests for exception.

(a) The Board in its discretion may invite the applicant and other parties, if appropriate, to make an oral presentation, or provide for an informal hearing (pursuant to § 205.39), or a formal hearing (pursuant to Subpart E of this part).

(b) In general, the Board will render its decision on the record which will consist of the request, any information developed by IRS and other written submissions by the applicant. However, if a presentation or hearing is conducted in accordance with paragraph (a) of this section, the record will also contain an account of such presentation or hearing.

The Board will determine whether such account will be in the form of a report, minutes, or transcript.

(c) After considering the record, the Board will issue a decision in writing directed to the person filing the request for exception setting forth the facts, conclusions of law, its decision and the basis therefor, and an appropriate order.

(d) If the Board grants an exception, it will serve upon the applicant a copy of its decision and order.

(e) If the Board denies an exception, in whole or in part, it will

(1) Serve upon the applicant a copy of its decision and order, and

(2) Advise him that he may request reconsideration of the Board's denial pursuant to §§ 205.34 through 205.40. § 205.32 Application for leave to participate in pay challenge proceedings.

(a) Upon receipt of a pay challenge, the Board will notify the parties at interest as defined in § 201.3 of this chapter that a pay challenge has been filed and that they have 5 days in which to request leave to participate in the proceedings.

(b) If a person who is

(1) An employer or employee subject to the challenged pay adjustment, or the representative thereof, or

(2) An employer whose competitive position in a labor market is adversely affected by the challenged pay adjustment, applies to the Board for leave to participate in its proceedings, such person shall state the name and address of the applicant, identify the docket number of the pay challenge, if known, state specifically the manner in which the applicant is interested in the challenged adjustment, specify the relief sought, and be signed by the applicant.

(c) Upon receipt of an application filed in accordance with paragraph (b) of this section, the Board will determine whether:

(1) The applicant is a person as defined by paragraph (b) of this section, and

(2) The applicant's participation in the proceedings will contribute to the equitable disposition of the pay challenge.

(d) Where the Board grants leave to participate, it will so notify the applicant in writing and afford him a reasonable opportunity to submit documentary

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(a) The Board in its discretion may invite any person or party at interest specified in § 205.32 to make an oral presentation, or provide for an informal hearing (pursuant to § 205.39), or a formal hearing (pursuant to Subpart E of this part).

(b) In general, the Board will render its decision on the record which will consist of the challenge, any information developed by IRS and other written submissions by persons or parties at interest specified in § 205.32. However, if a presentation or hearing is conducted in accordance with paragraph (a) of this section, the record will also contain an account of such presentation or hearing. The Board will determine whether such account will be in the form of a report, minutes, or transcript.

(c) After considering the record, the Board will issue a decision in writing directed to the person filing the pay challenge setting forth its decision and the basis therefor, and an appropriate order.

(d) Where the Board allows the challenged pay adjustment to stand or overturns such pay adjustment in whole or part, it will serve upon each party a copy of its decision and order.

(e) Any person aggrieved by a decision of the Board under paragraph (c) of this section or other party who participated in the initial proceedings may request reconsideration by the Board pursuant to §§ 205.34 through 205.40.

§ 205.34 Scope of review.

The Board will reconsider its refusal to grant an exception, or its decision with respect to a pay challenge if the request for reconsideration makes a prima facie showing that the Board's initial action was erroneous in fact or in law. § 205.35

tion.

Who may request reconsidera

Any person aggrieved or other party to the initial proceedings who meets the requirements set forth in § 205.34 may request reconsideration by the Board.

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A request for reconsideration shall(a) Be in writing and signed by the party requesting such reconsideration; (b) Be designated clearly as a request for reconsideration;

(c) Contain a concise statement of the grounds for reconsideration and the requested relief; and, such request may be accompanied by briefs.

§ 205.39 Informal hearings.

(a) If the Board in its discretion deems that a hearing is advisable, it will within 10 days of the request for reconsideration or as soon as possible in connection with an initial action direct that an informal hearing be held before a Hearing Officer or before the Board.

(b) Where a hearing has been directed in accordance with paragraph (a) of this section, it will, if administratively practicable, be conducted within 10 days after written notice to the parties at such time and place as the Board may direct.

(c) Where an informal hearing is conducted in accordance with this section, the parties may present oral argument and submit such additional documentary evidence as the Hearing Officer or the Board deems necessary to fully disclose their positions.

(d) If a Hearing Officer is used, he will conduct the hearing as expeditiously as possible in accordance with instructions received from the Board.

(e) Within 10 days after the close of the hearing, the Hearing Officer, if there is one, will submit to the Board a report and any recommendation he deems appropriate.

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(b) Serve upon each party to the proceedings a copy of the decision and order; and

(c) Advise each party that he may seek judicial review under the Act if the decision denies the relief requested. Such action by the Board will occur within 10 days of receipt of a request for reconsideration or within 10 days of a Hearing Officer's report if a Hearing Officer was used or within 20 days after a hearing before the Board is concluded, or as soon thereafter as administratively practicable.

Subpart D-Petition and Comment on Rule Making

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A petition or comment may be filed at any time.

Subpart E-Formal Hearings

§ 205.60 Purpose and scope.

(a) To the maximum extent possible, the Board will conduct formal hearings for the purpose of hearing arguments or acquiring information bearing on a wage or salary increase or proposed wage or salary increase if such increase or proposed increase has or may have a significantly large impact upon the National Economy.

(b) A formal hearing held pursuant to this subpart will be open to the public, but such hearings may be closed to the public for the purpose of receiving information considered to be confidential under section 205 of the act.

§ 205.61 Appointment of Hearing Offi

cer.

If a formal hearing is directed by the Board in accordance with § 205.60, a Hearing Officer may be appointed by the Board to preside over such hearing. § 205.62 Notice of hearing.

The public will be notified in the FEDERAL REGISTER of the nature, date, and

time of the hearing, and of the appointment of the Hearing Officer, if appropriate. Thereafter, all documents and other papers shall be filed with the Hearing Officer, or in the absence of the appointment of a Hearing Officer, with the Executive Secretariat of the Board.

§ 205.63 Powers and duties of the Hearing Officer.

(a) In addition to any other powers specified in this part, a Hearing Officer shall have the power:

(1) To administer oaths and affirmations;

(2) To examine or cross-examine witnesses;

(3) To issue subpenas authorized by the Act;

(4) To rule upon offers of proof and receive evidence;

(5) To regulate the course and conduct of the hearing, including:

(i) Continuing the hearing from day to day or adjourning it to a later date or different place by announcement thereof at the hearing or by other appropriate notice;

(ii) Taking official notice of any material fact not appearing in evidence in the record;

(iii) Excluding from the hearing persons who engage in misconduct; and

(iv) Striking all related testimony of a witness who refuses to answer questions ruled to be proper;

(6) To rule on motions and to dispose of procedural requests or similar matters; and

(7) To issue recommendations and prepare orders.

(b) The Hearing Officer will conduct the hearing as expeditiously as possible, in accordance with instructions received from the Board in each individual case. Within 30 days after the close of the hearing, he will transmit the record of the hearing together with his recommendations and proposed order, if any, to the Board.

(c) The Hearing Officer's authority in each case will terminate upon transmitting the record of the hearing and his recommendation and proposed order, if any, to the Board.

§ 205.64 Record.

(a) The record of a formal hearing will consist of an account of the proceedings of such hearing and all documents and exhibits submitted during the course of such hearing.

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