---
kind: "range"
citation: "5 C.F.R. §§ 9701.321–9701.323"
title: "5"
from: "9701.321"
to: "9701.323"
count: 3
url: "https://uscodex.org/cfr/5/9701.321..9701.323"
---

# §9701.321. Structure of bands.

- (a) DHS may, after coordination with OPM, establish ranges of basic pay for bands, with minimum and maximum rates set and adjusted as provided in [§ 9701.322](/cfr/5/9701.322.md). Rates must be expressed as annual rates.
- (b) For each band within an occupational cluster, DHS will establish a common rate range that applies in all locations.

# §9701.322. Setting and adjusting rate ranges.

- (a) Within its sole and exclusive discretion, DHS may, after coordination with OPM, set and adjust the rate ranges established under [§ 9701.321](/cfr/5/9701.321.md) on an annual basis. In determining the rate ranges, DHS and OPM may consider mission requirements, labor market conditions, availability of funds, pay adjustments received by employees of other Federal agencies, and any other relevant factors.
- (b) DHS may, after coordination with OPM, determine the effective date of newly set or adjusted band rate ranges. Unless DHS determines that a different effective date is needed for operational reasons, these adjustments will become effective on or about the date of the annual General Schedule pay adjustment authorized by [5 U.S.C. 5303](/usc/5/5303.md).
- (c) DHS may establish different rate ranges and provide different rate range adjustments for different bands.
- (d) DHS may adjust the minimum and maximum rates of a band by different percentages.

# §9701.323. Eligibility for pay increase associated with a rate range adjustment.

- (a) When a band rate range is adjusted under [§ 9701.322](/cfr/5/9701.322.md), employees covered by that band are eligible for an individual pay increase. An employee who meets or exceeds performance expectations (i.e., has a rating of record above the unacceptable performance level for the most recently completed appraisal period) must receive an increase in basic pay equal to the percentage value of any increase in the minimum rate of the employee's band resulting from a rate range adjustment under [§ 9701.322](/cfr/5/9701.322.md). The pay increase takes effect at the same time as the corresponding rate range adjustment, except as provided in §§ [9701.324](/cfr/5/9701.324.md) and [9701.325](/cfr/5/9701.325.md). For an employee receiving a retained rate, the amount of the increase under this paragraph is determined under [§ 9701.356](/cfr/5/9701.356.md).
- (b) If an employee does not have a rating of record for the most recently completed appraisal period, he or she must be treated in the same manner as an employee who meets or exceeds performance expectations and is entitled to receive an increase based on the rate range adjustment, as provided in [paragraph (a)](#a) of this section.
- (c) An employee whose rating of record is unacceptable is prohibited from receiving a pay increase as a result of a rate range adjustment, except as provided by §§ [9701.324](/cfr/5/9701.324.md) and [9701.325](/cfr/5/9701.325.md). Because the employee's pay remains unchanged, failure to receive a pay increase is not considered an adverse action under [subpart F](/cfr/5/subpartF.md) of this part.