This Act mandates that certain Bureau of Prisons employees currently receiving the "Rest of US" locality pay rate will be reassigned to the nearest, potentially higher-paying locality rate or receive a higher prevailing wage rate based on their location.
Bill Cassidy
Senator
LA
The Pay Our Correctional Officers Fairly Act aims to increase pay for certain Bureau of Prisons (BOP) employees currently receiving the "Rest of US" locality rate. This is achieved by reassigning their worksites to the nearest established pay locality offering a potentially higher adjustment. The bill also mandates that prevailing rate employees in specific "Rest of US" wage areas receive a higher wage rate based on the nearest comparable locality or the highest rate within their broader pay zone. These changes will take effect 180 days after the date the Act is signed into law.
The aptly named Pay Our Correctional Officers Fairly Act aims to fix a long-standing issue in federal pay: the low "Rest of US" locality rate. This bill specifically targets Bureau of Prisons (BOP) employees, many of whom work in remote areas but still face high costs of living due to their proximity to major metro areas. Essentially, the Act creates a new system to ensure thousands of correctional officers and other BOP staff get paid closer to what their neighbors make.
If you work for the federal government outside a major metro area, you likely fall into the "Rest of US" locality pay category, which often provides the lowest pay bump. Section 2 of this bill changes that for BOP staff. If a correctional officer’s worksite is within 200 miles of the boundary of any other established, higher-paying locality (like a major city’s pay zone), their pay calculation gets shifted. Instead of the low "Rest of US" rate, they get the rate from the nearest locality that offers the highest comparability payment.
Think of it this way: if you work at a federal prison 150 miles from Dallas, you’re currently paid the low "Rest of US" rate. Under this new rule, you’d be assigned the Dallas locality rate, which is a significant pay raise. The bill is smart about this: if you’re within 200 miles of both Dallas and Houston, the government has to use the one that gives you the bigger check. This provision directly benefits BOP staff who are geographically close to higher-cost areas but have historically been penalized by the old system.
Section 3 addresses a different group of BOP staff: "prevailing rate employees." These are often tradespeople—like plumbers, electricians, and maintenance staff—whose pay is set based on local private-sector wages. For those working in a "Rest of US wage area," the bill mandates a pay increase by using the wage schedule from the nearest other wage area, provided that area is part of a higher-paying locality.
For example, if you’re a BOP electrician in a rural area near a military base that falls into a higher-paying wage zone, your pay will now be benchmarked to that higher rate. This ensures that the federal government can actually compete for skilled tradespeople in areas where the private sector is paying more. If there isn't a nearby BOP facility to use for comparison, the BOP gets to determine the comparison area, but they have to justify it based on similarities in population and industry, which gives the agency some administrative wiggle room.
While the intent is clearly to boost pay, the bill draws a hard line at the 200-mile mark. If a BOP facility is 201 miles from the boundary of the nearest higher-paying locality, the staff there are excluded and remain stuck on the "Rest of US" rate (SEC. 2). For those working in truly remote areas, this bill won't change their paycheck, creating a potential disparity between facilities just a few miles apart. Furthermore, while this is a necessary investment in federal staff, it means federal agencies will face increased payroll costs, which will need to be budgeted for.
Don't expect the raise on your next paycheck. The Act specifies that all these pay changes won't kick in until the first pay period that begins 180 days after the law is officially signed. This six-month delay gives the federal government the time it needs to redraw pay boundaries, update payroll systems, and implement the new locality calculations.