[Code of Federal Regulations] [Title 5, Volume 2, Parts 700 to 1199] [Revised as of January 1, 2001] From the U.S. Government Printing Office via GPO Access [CITE: 5CFR900.602] [Page 488] TITLE 5--ADMINISTRATIVE PERSONNEL CHAPTER I--OFFICE OF PERSONNEL MANAGEMENT (Continued) PART 900--INTERGOVERNMENTAL PERSONNEL ACT PROGRAMS--Table of Contents Subpart F--Standards for a Merit System of Personnel Administration Sec. 900.602 Applicability. (a) Sections 900.603-604 apply to those State and local governments that are required to operate merit personnel systems as a condition of eligibility for Federal assistance or participation in an intergovernmental program. Merit personnel systems are required for State and local personnel engaged in the administration of assistance and other intergovernmental programs, irrespective of the source of funds for their salaries, where Federal laws or regulations require the establishment and maintenance of such systems. A reasonable number of positions, however, may be exempted from merit personnel system coverage. (b) Section 900.605 applies to Federal agencies that operate Federal assistance or intergovernmental programs.