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Availability of Forest Service Appropriated Funds for Miscellaneous Services to Employees' Credit Union Service Center

B-177610 Jun 15, 1979
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Highlights

A Forest Service officer requested a decision on whether funds appropriated to the Forest Service were available to finance miscellaneous services provided gratis to the Atlanta Region Credit Union office. These services included the use of "surplus" Government office equipment and furniture, telephone facilities, and office space. A Federal credit union is a cooperative association organized under U.S. statute to promote thrift among its members and create a source of credit for them. Although supervised by the National Credit Union Administration, these institutions are private establishments, obtaining their funds from private sources. However, when properly organized, a Federal employee credit union may be assigned available space in a Government-controlled building in the community where it does business, within the discretion of the Federal official charged with space alloment in the building. Space and certain services may be provided without charge. GAO has held that Federally-funded services which may be supplied in this fashion include only those necessary to meet normal space needs; special services, such as security alarm systems, are not authorized to be furnished from Federal funds. Telephone services do not fall within the purview of necessary services; however, the credit union need not be billed for past telephone charges absorbed by the Government, but only for such costs accrued in the future. Although lighting, heat, and maintenance are clearly necessary, the use of furniture and equipment designated as "surplus" is not. GAO has held that the Government may charge for these services, but announced that it would not pursue the matter unless Congress acted to exempt these items specifically. Since Congress has taken no action, GAO will raise no legal objections to the provision of office space, furniture, and business equipment by agencies to Federal employees' credit unions free of charge.

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