; and (4) the term premium pay means the premium pay paid under the provisions of law cited in section 5547(a), except as otherwise provided in subsection (h). (b) Any premium pay earned by a covered employee for covered services shall be disregarded in calculating the aggregate of such employee’s basic pay and premium pay for purposes of applying a limitation under section 5547. (c) Any premium pay that is disregarded under subsection (b) shall be disregarded in calculating such employee’s aggregate pay for purposes of applying the limitation in section 5307. (d) Pay that is disregarded under subsection (b) may not be paid to the extent it would cause the aggregate of the employee’s basic pay, premium pay, and hazard pay under section 5545(d) payable in the applicable calendar year to exceed the rate of basic pay payable for a position at level II of the Executive Schedule under section 5313, as in effect at the end of such calendar year. Any premium pay that is subject to a biweekly limitation under section 5547(c) must be paid first before other premium pay in applying the level II limitation. (e) Application of the limit in subsection (d) or subsection (h) to a covered employee may be waived at the sole and exclusive discretion of the Secretary of the Interior or the Secretary of Agriculture, as applicable. Before authorizing such a waiver for employees of their respective agencies, each Secretary, after consulting with the other Secretary, shall prescribe criteria that will be applied in making a determination to grant a waiver. (f) Any additional pay resulting from application of this section may not be used in computing a lump-sum payment for accumulated and accrued annual leave under section 5551 or section 5552. (g) The Departments of the Interior and Agriculture shall maintain records that document uses of the authority provided by this section. (h) (1) For prevailing rate employees described in section 5342(a)(2)(A) who meet the requirements in subsection (a)(l) to qualify as a covered employee,