; and (B) to account for changes in cost of living and inflation. (2) Locality pay The Secretary shall include a pay adjustment as part of the stipends described in paragraph (1) that is comparable to the locality pay adjustment for the locality pay area in which the host office of the fellow is located, as determined under section 531.603 of title 5, Code of Federal Regulations (or any successor regulation). (f) Status of fellows Except as provided in subsection (h)(3), fellows shall not be considered to be Federal employees. (g) Direct hire authority (1) In general During fiscal year 2023 and any fiscal year thereafter, the head of any Federal agency may appoint, without regard to the provisions of subchapter I of chapter 33 of title 5, United States Code, other than sections 3303 and 3328 of that title, a candidate who meets the qualifications described in paragraph (2) directly to a position with the Federal agency for which the candidate meets Office of Personnel Management qualification standards. (2) Qualifications Paragraph (1) applies with respect to a former fellow who has successfully fulfilled the requirements of the fellowship. (3) Limitation The direct hire authority under paragraph (1) shall be exercised with respect to a specific qualified candidate not later than 2 years after the date on which the candidate completed a fellowship awarded under this section. (h) Use of funds Amounts authorized to be appropriated under section 6 shall be used for— (1) the award of fellowships under this section, including stipends paid to fellows and other relevant benefits offered to fellows, including health insurance, as identified by the Secretary; (2) administrative costs associated with the Coastal Management Fellowship and the Digital Coast Fellowship; (3) relocation and travel expenses paid to fellows, who shall be considered to be Federal employees for purposes of section 3375 of title 5, United States Code