Attorneys for Federal Employees — Nationwide

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Today at a Glance

• FECA Pharmacy Benefit Expands to Three More Worker-Compensation Programs: The Labor Department announced May 5 that it is expanding the Federal Employees' Compensation Act pharmacy benefit program to cover claimants under the Black Lung Benefits Act, the Longshore and Harbor Workers' Compensation Act, and the Energy Employees Occupational Illness Compensation Program Act.

• Combined Federal Campaign Future in Doubt: A group of 43 congressional Democrats, led by Maryland's delegation, sent OPM a letter Monday warning that ending the Combined Federal Campaign would "disrupt and destabilize" thousands of charities; OPM has signaled the program may not continue.

• DCAA to Close Six More Offices: The Defense Contract Audit Agency will close six additional offices in fiscal 2026 as part of a continuing reorganization, affecting roughly 160 employees, with a stated goal of cutting at least 30 percent of agency leases over the next three years.

Top Stories:

1. Labor Department Expands FECA Pharmacy Benefit Program to Three Additional Worker-Compensation Statutes

Source: U.S. Department of Labor, May 5, 2026

TL;DR: The Department of Labor's Office of Workers' Compensation Programs announced on May 5 that it is expanding the Federal Employees' Compensation Act (FECA) pharmacy benefit program to cover claimants under three additional federal worker-compensation statutes: the Black Lung Benefits Act, the Longshore and Harbor Workers' Compensation Act, and the Energy Employees Occupational Illness Compensation Program Act. The program is administered by Optum Workers' Compensation Services of Florida and provides pharmacy benefits to federal employees and other covered workers receiving workers' compensation. The Department reported drug expenditures fell from approximately $226.2 million in calendar year 2018 to $39.8 million in 2025 — an 82.4 percent reduction the agency attributes to changes implemented under the first Trump Administration. The expansion is intended to extend those cost controls and transparency requirements to the additional beneficiary populations.

For federal employees, this means:

• If you have an open FECA claim with a pharmacy component — or are about to file one — your prescription benefits continue to flow through Optum. The May 5 announcement expands the program to additional beneficiary populations; it does not modify the pharmacy network or formulary for existing FECA claimants.

• If you or a family member is a Black Lung, Longshore, or Energy Employees beneficiary, your pharmacy benefits will transition into the same administered program. Watch for transition notices from OWCP and confirm with your prescribing provider that your current medications are covered before any change-over date.

• Federal employees who suspect a FECA claim has been improperly denied, mishandled, or delayed should preserve copies of every CA-1, CA-2, CA-7, and CA-17 form, every medical report, and every OWCP correspondence. Pharmacy benefit disputes route through the program administrator, but underlying claim disputes go through OWCP appeals.

Legal Insight:
FECA is codified at 5 U.S.C. §§ 8101–8193 and the implementing regulations are at 20 C.F.R. Part 10. Federal employees who disagree with an OWCP claim decision have appeal rights under 20 C.F.R. §§ 10.600–10.622, including reconsideration, a hearing before the Branch of Hearings and Review, and review by the Employees' Compensation Appeals Board under 20 C.F.R. § 501.3, which generally requires the appeal to be filed within 180 days of the underlying OWCP decision. Pharmacy benefit denials are typically addressed through the program administrator's appeal process. Federal employees whose underlying claim has been denied, or who face complex pharmacy, causation, or medical-evidence disputes, should consult a federal employment attorney with FECA experience before deadlines run.

2. Combined Federal Campaign Future in Doubt — 43 Democrats Urge OPM to Keep Workplace Giving Program

Source: Federal News Network, May 11, 2026

TL;DR: A group of 43 congressional Democrats, led by Rep. Jamie Raskin (D-Md.) and Sens. Chris Van Hollen (D-Md.) and Angela Alsobrooks (D-Md.), sent a letter Monday warning that shuttering the Combined Federal Campaign would "disrupt and destabilize" thousands of charitable organizations. The Combined Federal Campaign — the workplace giving program federal employees use to make charitable contributions through payroll deduction — raised approximately $40 million in 2025 and roughly $70 million in 2024. OPM has signaled the program may not continue beyond 2026, citing low participation rates and approximately $22 million in annual administrative costs. In February, OPM announced it would decommission the CFC's online donation portal by early March; the portal's site now warns it may be taken offline at any time. More than 4,400 charities participated in the 2025 campaign.

For federal employees, this means:

• If you donate to charity through CFC payroll deduction, watch for OPM guidance about the status of the 2026 campaign and how to redirect, pause, or stop your deduction. The CFC payroll deduction is voluntary; you can change or end it at any time through your agency's HR or payroll system.

• If you are a 2025 CFC pledger, your remaining pledged dollars should still flow to the charity you selected. If your charity reports it has not received expected funds, document the issue in writing and contact your agency's CFC coordinator and the charity directly.

• If you have served on an agency CFC committee or as a CFC coordinator, the program's status affects your role. Watch for guidance on whether 2026 campaign activities will proceed, be modified, or be cancelled.

Legal Insight:
The Combined Federal Campaign is established by Executive Order 12353 and Executive Order 12404, and is administered by OPM under regulations at 5 C.F.R. Part 950. Termination of the CFC would not by itself eliminate federal employees' right to make charitable donations or their right to use payroll deduction for other authorized purposes under 5 U.S.C. § 5525. If OPM ends or significantly restructures the program, federal employees should expect formal notice through agency HR channels; any change in withholding or deduction should be reflected on the next Leave and Earnings Statement after the change takes effect.

3. DCAA to Close Six More Offices, Affecting About 160 Employees as Agency Trims Lease Footprint

Source: Federal News Network, May 2026

TL;DR: The Defense Contract Audit Agency, the Defense Department component that audits contractor costs, announced it will close six additional small offices in fiscal 2026 as part of a continuing reorganization. The closures will affect approximately 160 employees. DCAA has set a goal of terminating at least 30 percent of its leases over the next three years. The announcement adds to earlier closures and continues a broader pattern of agency consolidations across the Department of Defense as it implements workforce reductions announced over the past year.

For federal employees, this means:

• If you are a DCAA employee at one of the affected offices, expect formal written notice from your agency outlining your status — directed reassignment, separation, or another option — along with applicable timelines. Save the notice, your SF-50s, and every related agency communication. Verbal information does not protect you.

• Federal employees offered a directed reassignment to a new geographic location should review their entitlements under the Federal Travel Regulation before accepting or declining. Refusing a directed reassignment can, in some circumstances, be grounds for removal. Do not respond to a relocation order without understanding the consequences in writing.

• Bargaining-unit employees should ask their union steward about negotiated procedures, impact-and-implementation bargaining, and any pending grievances tied to prior closures. Past practice and contract language may control how reassignments and separations are processed.

Legal Insight:
Agency reassignment authority generally arises under 5 U.S.C. § 7106(a)(2)(A), with procedural protections and bargaining obligations under 5 U.S.C. §§ 7106(b)(2)–(3) and 7114. Reductions in Force are governed by 5 U.S.C. § 3502 and 5 C.F.R. Part 351; if a closure leads to a formal RIF, the standard 60-day notice and 30-day MSPB appeal window under 5 U.S.C. § 7701 apply. Relocation benefits and procedures are addressed in 5 U.S.C. §§ 5724 and 5724a and the Federal Travel Regulation at 41 C.F.R. Chapter 302. Federal employees facing a directed reassignment, a RIF notice, or other adverse action arising from an office closure should consult a federal employment attorney before responding, declining a relocation offer, or signing any separation paperwork.

Mindful Moment of the Day

Clocking Out in Your Mind

Even after you log off, your brain may keep rehashing that tough call, email, or meeting while you’re trying to relax. Take three minutes to do a “mental download” on paper: write everything that’s still spinning in your head about work. Then draw a box around it and write, “Tomorrow’s list,” signaling to yourself that these thoughts are parked, not ignored. As you set the paper aside, take five slow breaths and gently turn your attention to something in your non‑work life—a hobby, a show, or a person you care about. 

In Case You Missed It

A few quick hits from our recent videos and posts:

CDC Telework Accommodations and Disability Rights

Voluntary OPM Skills Survey: Know Your Rights

USDA Relocations and Federal Employee Rights