What is the purpose of this transmittal? This transmittal revises Part 1, Chapter 6, Section 1 (Determining Rate of Basic Pay) of the Federal Highway Administration (FHWA) Personnel Management Manual (PMM). What are the major changes? This PMM section has been revised to clarify the criteria used in making highest previous rate determinations, and it removes the previous guidance on Senior Executive Service (SES) pay determinations. Final regulations establishing a performance-based pay system for the SES were effective on December 6, 2004. This section will be further updated to reflect those new regulations in the future.
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