Southworth PC | Federal Employee Briefing — Friday, 04/24/2026
Attorneys for Federal Employees — Nationwide
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Today at a Glance
- 2027 pay freeze: The House Appropriations Committee advanced the FY2027 spending bill with no civilian pay raise — rejecting a Democratic amendment for 3.1% — aligning with the White House freeze proposal.
- USDA relocations expand: USDA announced Thursday it will move 2,600 D.C.-area employees to regional hubs, including a new Food Safety Center in Iowa, and will decommission the Beltsville Agricultural Research Center.
- Medical marijuana rescheduled: DOJ moved medical marijuana from Schedule I to Schedule III effective immediately — creating legal uncertainty around federal workplace drug testing.
Top Stories:
1. House Appropriators Advance FY2027 Bill With No Civilian Pay Raise
Source: Federal News Network — April 22, 2026
TL;DR: The House Appropriations Committee's financial services and general government bill for FY2027 advanced along party lines Wednesday evening with no mention of a civilian pay raise. Rep. Steny Hoyer (D-Md.) proposed an amendment for a 3.1% raise; it failed 28-32 on party lines. Under federal pay-setting mechanics, if Congress sets no figure in the spending bill through the end of the year, the White House's freeze recommendation takes effect by default. The White House did propose a 5-7% raise for uniformed military members.
For federal employees, this means:
- The freeze is not yet law — this is one committee vote in one chamber, and the Senate has not acted.
- If no alternative pay plan is submitted or enacted by year's end, the freeze takes effect automatically in January 2027.
- Federal law enforcement received a separate 3.8% raise for 2026; the FY2027 bill does not specify whether LEOs would again be treated differently.
Legal Insight:
Under 5 U.S.C. § 5303 and the Federal Employees Pay Comparability Act of 1990, federal employees receive an automatic pay adjustment each January unless the president submits an alternative plan by August 31. The Federal Salary Council's most recent report measured the federal-private pay gap at 24.72% — nearly five times the 5% statutory target under FEPCA. A freeze widens that gap further, but Congress has never fully funded the formula since it was enacted.
2. USDA Expands Relocations: FSIS to Iowa, ERS/NIFA Back to Kansas City, BARC Shutting Down
Source: Federal News Network — April 23, 2026
TL;DR: USDA announced Thursday that FSIS will move about two-thirds of its D.C.-area workforce to a new National Food Safety Center in Urbandale, Iowa, and a new Science Center in Athens, Georgia. ERS and NIFA will relocate employees back to Kansas City — reprising the first Trump-term move that resulted in the loss of more than half their staff. USDA's Agricultural Research Service will decommission the Beltsville Agricultural Research Center and disperse research programs to facilities across the country. In total, about 2,600 D.C.-area employees will be shifted to regional hubs.
For federal employees, this means:
- Employees who decline a directed reassignment will be processed for termination — USDA has been explicit about this in its FSIS FAQ.
- USDA wants relocations completed this summer so employees with children can start the new school year at their destination — an aggressive timeline.
- The first-term Kansas City move caused ERS and NIFA to lose over half their staff and suffer years of reduced productivity — employees should weigh that history carefully.
Legal Insight:
USDA's FY2026 appropriations bill blocked the department from reorganizing or relocating employees without congressional authorization. Forest Service Chief Schultz told Congress his general counsel approved the moves anyway. If Congress holds that the appropriations rider applies, affected employees may have grounds to challenge any separation flowing from a reassignment refusal. Employees receiving reassignment notices should immediately confirm whether their union has initiated impact-and-implementation bargaining under 5 U.S.C. § 7106(b) — an agency that implements before completing bargaining may be committing an unfair labor practice.
3. Medical Marijuana Rescheduled to Schedule III — Federal Workplace Drug Testing in Limbo
Source: NPR — April 23, 2026
TL;DR: Acting Attorney General Todd Blanche moved FDA-approved marijuana products and state-licensed medical marijuana from Schedule I to Schedule III on Wednesday — effective immediately. The DEA also announced expedited hearings beginning June 29, 2026, to consider rescheduling all marijuana to Schedule III. The rescheduling does not legalize recreational marijuana and does not immediately change federal drug testing requirements — but it creates a legal ambiguity that federal agencies have not yet addressed.
For federal employees, this means:
- Federal workplace drug testing currently covers Schedule I and II substances. With medical marijuana now Schedule III, HHS-certified labs may lose the technical authority to test for it — though no guidance has been issued yet.
- Safety-sensitive federal employees (law enforcement, aviation, transportation) should assume marijuana testing continues unchanged until DOT and OPM issue specific guidance.
- Federal employees with state-legal medical marijuana prescriptions still face zero-tolerance policies under Executive Order 12564 (Drug-Free Federal Workplace) — rescheduling does not override that order.
Legal Insight:
Executive Order 12564 requires all federal agencies to maintain drug-free workplace programs and authorizes testing for illegal drug use. The Mandatory Guidelines for Federal Workplace Drug Testing Programs, issued by HHS under 49 C.F.R. Part 40, currently authorize testing only for Schedule I and II substances. If marijuana moves fully to Schedule III, HHS will need to amend the guidelines — or Congress will need to pass a statutory carve-out — to preserve federal testing authority. Until then, federal employees should not assume rescheduling changes their workplace obligations. That said, the legal landscape is shifting underneath the agencies. Under 5 U.S.C. § 7513, an agency must show that a disciplinary or adverse action promotes the efficiency of the service. For off-duty conduct — like use of a prescribed, state-legal medication that is no longer a Schedule I substance — the agency may struggle to establish the required nexus between the employee's conduct and the employee's position, performance, or the agency's mission. That nexus argument, weighed through the Douglas factors, becomes significantly harder for the agency to make when the substance in question has been reclassified by the same federal government bringing the action. If you are a federal employee who has been disciplined or terminated for medical marijuana use, particularly where it is state-legal and physician-prescribed, there may be viable defenses available depending on your circumstances. Consult with a federal employment attorney before accepting the agency's action as final.
Legal Tip of the Day
When You’re Excluded from Meetings or Opportunities
Being left out can affect both performance and career progression. It may also raise concerns if it follows protected activity. Track missed opportunities and compare them to past participation. Ask questions to understand the reasoning. Keep documentation of your qualifications and involvement.
In Case You Missed It
A few quick hits from our recent videos and posts:
DOJ Indictment of SPLC Raises Concerns
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ICE Hiring Surge Raises Vetting Risks
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DOJ Indictment of SPLC: Informants and Legal Risks
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A Year Later: Rebuilding After a Federal Layoff
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Worried About Retaliation or Being Targeted for Speaking Up?
If you’ve reported misconduct, safety concerns, discrimination, or waste/fraud/abuse—and now you’re seeing sudden schedule changes, bad performance reviews, or threats of discipline—you may be in whistleblower or retaliation territory.
We represent federal employees who:
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Reported concerns and then saw adverse actions
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Were sidelined, reassigned, or given impossible workloads after speaking up
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Face investigations, PIPs, or proposed removals that look like payback
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Need help navigating OSC complaints, EEO claims, or MSPB appeals tied to retaliation
A free, confidential consultation can help you sort out what’s normal agency behavior and what may cross the line—and what to do before your options narrow.
👉 Schedule Your Free Consultation Today
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Disclaimer:
This briefing is for general informational purposes only and does not constitute legal advice or create an attorney‑client relationship. Federal employment law is fact‑specific and time‑sensitive; you should consult a qualified attorney about your own situation and deadlines. Past results do not guarantee future outcomes.
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