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IRS Exec Exits Over Lapse in Critical Pay Authority

In an email to staff, IRS Commissioner John Koskinen cited the expiration of a 1998 statute as the reason for the departure of IRS Chief Technology Officer, Terry Milholland.

The Streamlined Critical Pay Authority — part of the IRS Restructuring and Reform Act of 1998 which allowed for a higher pay band for select positions — expired in 2013 without a congressional vote to renew.

In his note, Koskinen stated: “This hiring authority served taxpayers well since Congress put it in place in 1998, helping us on a variety of critical projects. Unfortunately, that special hiring authority expired in 2013 and has not been renewed, which seriously harms our ability to recruit the best IT and cybersecurity talent out there.”

This provision authorized up to 40 critical positions at a higher pay band, with starting salaries ranging from $130,000 to $227,000.

Milholland previously warned that this would happen in testimony before the House Committee on Oversight and Government Reform during a May 25th hearing. He said:

“The loss of streamlined critical pay authority has created major challenges to our ability to retain employees with the necessary high-caliber expertise in IT and other specialized areas. In fact, out of the many expert leaders and IT executives hired under streamlined critical pay authority, there are only nine IT experts remaining at the IRS and we anticipate there will be no staff left under this authority by this time next year.”

Posted in General News

Tags: IRS, federal pay, federal hiring, Internal Revenue Service, IRS reform



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