November 3, 1999

FMD-99008

7 CFR 1550.54 (b)(13): FAS will reimburse, in whole or in part, the cost of approved salaries or compensation for non-U.S. citizens and non-U.S. contractors. Generally, FAS will not reimburse any portion of a non-U.S. citizen employee=s compensation that exceeds the compensation prescribed for the most comparable position in the Foreign Service National (FSN) salary plan applicable to the country in which the employee works. However, if the local FSN salary plan is inappropriate, a Cooperator may request a higher level of reimbursement for a non-U.S. citizen.

Some Cooperators have indicated they expected the regulations to include language allowing Asupergrade@ salaries for non-U.S. citizen employees similar to those in the Market Access Program. FAS omitted references to the supergrade salary structure in the new regulations to provide greater flexibility for Cooperators when establishing salary plans for non-U.S. citizen employees. Therefore, a Cooperator may choose to use the supergrade salary structure or other verifiable salary information when the local FSN salary plan is inappropriate. The supergrade salary structure is explained below.

(1) A Cooperator may seek a higher level of reimbursement for a non-U.S. citizen who will be employed as a country director or regional director by requesting that FAS approve that employee as a Asupergrade@.

(2) To request approval of a Asupergrade@, the Cooperator shall provide a detailed description of both the duties and responsibilities of the position, and of the qualifications and background of the employee concerned. The Cooperator shall also justify why the highest FSN salary level is insufficient.

(3) Where a non-U.S. citizen will be employed as a country director, the Cooperator may request approval for a ASupergrade I@ salary level, equivalent to a grade increase over the existing top grade of the FSN salary plan. The Asupergrade@ and its step increases are calculated as the percentage difference between the second highest and the highest grade in the FSN salary plan with that percentage applied to each of the steps in the top grade. Where the non-U.S. citizen will be employed as a regional director, with responsibility for activities and/or offices in more than one country, the Cooperator may request approval for a ASupergrade II@ salary level which is calculated relative to a ASupergrade I@ in the same way the latter is calculated relative to the highest grade in the FSN salary plan.