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definition and emphasized that premium pay should be in addition to compensation typically <br />received. <br />Public Comment: Several submitted comments related to the definition of "premium <br />pay." Several commenters asked Treasury to clarify certain aspects of the interim final rule and <br />statutory definition of premium pay. For instance, a few commenters asked whether the $25,000 <br />limit applies to the annual amount of premium pay received or the aggregate amount of premium <br />pay received over the period of performance. A few commenters requested flexibility as to how <br />premium pay may be awarded, including flexibility to make monthly or quarterly payments or <br />lump sum payments. Finally, commenters requested additional clarification as to how premium <br />pay should be calculated. For instance, a commenter asked how to calculate the amount of and <br />account for overtime pay and other incentive pay.269 <br />Treasury Response: Treasury has clarified some of these issues in the final rule. For <br />example, Treasury has clarified in the final rule that the $25,000 per employee limit is for the <br />entire period of performance, not an annual cap. Further, recipients have discretion with respect <br />to the way in which premium pay is awarded to eligible workers (e.g., monthly, quarterly, lump <br />sum), provided that the total premium pay awarded to any eligible worker does not exceed $13 <br />per hour or $25,000 over the period of performance. Finally, a recipient may award premium pay <br />to an eligible worker in addition to the overtime pay already earned by the eligible worker but in <br />no instance may the portion of the compensation funded with SLFRF funds exceed $13 per hour, <br />even if strict time -and -a -half calculation requires more.270 To the extent that an employer is <br />269 See 29 U.S.C. 207(a) ("[A]t a rate not less than one and one-half times the regular rate at which he is <br />employed."). <br />270 All recipients are required to comply with otherwise applicable laws, including any wage and hour requirements <br />in the Fair Labor Standards Act. See generally, Department of Labor, Wages and the Fair Labor Standards Act, <br />https://www.dol.gov/agencies/whd/flsa. <br />231 <br />