DeForest and Rose M. Dorroh - Page 7

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          petitioner.  DFAS paid petitioner the $60,000 during 1997.                  
               The mediation agreement listed each of the formal and                  
          informal complaints petitioner had filed with the EEOC, and the             
          agreement, by its terms, was for the express settlement of these            
          complaints.  The agreement concluded that it represented the "sum           
          total" of the provisions made by the parties with each party                
          "having had the opportunity to read and raise questions about its           
          meaning prior to signing."  Petitioner and her attorney signed              
          the agreement along with a representative of DFAS and the                   
          mediator.  The agreement makes no references to settlement of any           
          claims by petitioner for physical injuries or sickness or                   
          emotional pain and suffering, nor does the agreement make                   
          reference to petitioner's worker's compensation case and the                
          worker's compensation benefits she was receiving at that time.              
          The agreement, however, includes an attachment, not referenced or           
          identified in the agreement, which is a Standard Form 50-B, U.S.            
          Office of Personnel Management, entitled Notification of                    
          Personnel Action.  That form lists petitioner's resignation from            
          DFAS on April 4, 1997, which was approved by DFAS on April 15,              
          1997.  The "Remarks" portion of the form states: "I am officially           
          resigning from Federal service for medical and mental and                   
          physical trauma.  Please see my Dr. statement that will                     
          officially be a part of my SF 50."                                          
               For the year 1997, DFAS issued to petitioner a Form 1099 for           





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