[Request for Reconsideration of Claims Group's Settlement Concerning Reimbursement of Relocation Expenses]

A Defense Logistics Agency (DLA) employee requested reconsideration of a Claims Group settlement which advised the Soil Conservation Service (SCS) and DLA that each had the discretion to pay all, some, or none of the employee's relocation and travel expenses. After his position had been abolished at SCS due to a reduction in force (RIF), he accepted employment with DLA and was required to relocate; however, SCS denied his claim for relocation expenses. Despite the Claims Group's settlement, neither agency reimbursed the employee for his claimed expenses. Regulations state that: (1) a former employee separated by reason of RIF who is reemployed in the government within 1 year at a different location may be paid relocation expenses in whole or in part by the gaining agency or the losing agency as agreed on by the heads of the agencies concerned; and (2) DLA may pay relocation expenses only when it is the losing agency. GAO found that: (1) the language concerning the agreement is intended to prevent duplicate payments, not to limit an individual agency's discretion; and (2) while SCS stated that it has never paid these expenses except when it was the gaining agency, the record showed that it offered to pay 25 percent of the employee's relocation expenses. Accordingly, the Claims Group's settlement was sustained, and SCS should determine whether it will pay its offered part of the expenses, or any greater or lesser amount.