Claim for Relocation Expenses

An employee of the Department of Agriculture claimed reimbursement for relocation expenses incurred incident to a transfer from New Orleans, Louisiana, to Washington, D.C., which was later canceled. The agency noted that all of the relocation expenses were incurred by the claimant subsequent to his being advised of the cancellation of his transfer. Accordingly, the agency asked whether in view of the circumstances present, the claimant may be reimbursed for the relocation expenses claimed. Travel orders usually constitute the authorization of a transfer and, generally, a transfer is effective on the date an employee reports for duty at a new duty station. The claimant may be reimbursed for allowable relocation expenses, even though a pending request for reassignment was later denied and for expenses incident to retransfer to his former duty station. However, the claimant was allowed payment of actual subsistence expenses during the entire period of his duty which was improper as generally there is no authority to allow per diem or subsistence expenses at an employee's official duty station. Therefore, the amount erroneously paid the claimant for subsistence expenses should be offset against the amount which he may be reimbursed for relocation expenses.