[Code of Federal Regulations]
[Title 5, Volume 1]
[Revised as of January 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 5CFR537.107]

[Page 490]
 
                    TITLE 5--ADMINISTRATIVE PERSONNEL
 
                CHAPTER I--OFFICE OF PERSONNEL MANAGEMENT
 
PART 537--REPAYMENT OF STUDENT LOANS--Table of Contents
 
Sec. 537.107  Service agreements.

    (a) Before any loan repayments may be made, an agency must require 
that the employee sign a written agreement to complete a specified 
period of employment with the agency and to reimburse the agency for 
loan repayment benefits, when required by Sec. 537.109. This agreement 
may also specify any other employment conditions the agency considers to 
be appropriate, such as, but not limited to, the employee's position and 
the duties he or she is expected to perform, work schedule, or level of 
performance.
    (b) The minimum period of employment to be established under a 
service agreement must be 3 years, regardless of the amount of loan 
repayment authorized. Agencies can state in their service agreements 
that increases or renewals of payments made under this part can be made 
without requiring the employee to enter into a new service agreement.
    (c) A service agreement made under this part in no way constitutes a 
right, promise, or entitlement for continued employment or 
noncompetitive conversion to the competitive service. This language 
should be stated in the service agreement.