B-45103, I-13245, JUL. 25, 1955
Highlights
TO THE HONORABLE SECRETARY OF THE NAVY: REFERENCE IS MADE TO LETTER DATED FEBRUARY 18. IT IS STATED THAT PAYMENT OF THE SUM IN QUESTION WOULD HAVE A DETRIMENTAL EFFECT ON THE STATION'S WELFARE AND RECREATION PROGRAM WHICH IS SUPPORTED BY PROFITS GENERATED FROM NAVY EXCHANGE OPERATIONS. IT IS FURTHER STATED THAT SUCH PAYMENT WOULD BE COSTLY TO THE GOVERNMENT IN THE FORM OF AN INCREASED CIVILIAN EMPLOYEE TURNOVER AND WOULD PENALIZE CURRENT EMPLOYEES. WERE NOT EMPLOYED AT THE STATION DURING THE PERIOD FOR WHICH INADEQUATE CHARGES FOR UTILITIES WERE IN EFFECT. OVERCOLLECTIONS OF PAYMENTS FROM UNOFFICIAL USERS OF TELEPHONE SERVICES ARE FUNDS RECEIVED "FOR THE USE OF THE UNITED STATES" WITHIN THE MEANING OF THAT PHRASE AS USED IN SECTION 3617.
B-45103, I-13245, JUL. 25, 1955
TO THE HONORABLE SECRETARY OF THE NAVY:
REFERENCE IS MADE TO LETTER DATED FEBRUARY 18, 1955, FROM THE ASSISTANT SECRETARY OF THE NAVY, IN REGARD TO THE NONCOLLECTION OF $23,931.55 FROM THE NAVY EXCHANGE AT THE NAVAL ORDNANCE TEST STATION, INYOKERN, CHINA LAKE, CALIFORNIA, FOR UTILITIES FURNISHED DURING THE PERIOD NOVEMBER 1, 1949, TO FEBRUARY 28, 1952.
IT IS STATED THAT PAYMENT OF THE SUM IN QUESTION WOULD HAVE A DETRIMENTAL EFFECT ON THE STATION'S WELFARE AND RECREATION PROGRAM WHICH IS SUPPORTED BY PROFITS GENERATED FROM NAVY EXCHANGE OPERATIONS. IT IS FURTHER STATED THAT SUCH PAYMENT WOULD BE COSTLY TO THE GOVERNMENT IN THE FORM OF AN INCREASED CIVILIAN EMPLOYEE TURNOVER AND WOULD PENALIZE CURRENT EMPLOYEES, WHO, BY AND LARGE, WERE NOT EMPLOYED AT THE STATION DURING THE PERIOD FOR WHICH INADEQUATE CHARGES FOR UTILITIES WERE IN EFFECT.
YOU RAISE THE QUESTION WHETHER, AS AN ALTERNATIVE TO A RETROACTIVE ASSESSMENT AGAINST PROFITS GENERATED FROM EXCHANGE OPERATIONS, THE CHARGES MAY BE CONSIDERED AS AN OFFSET TO THE OVERCOLLECTION OF PAYMENTS IN THE AMOUNT OF $100,000 FROM UNOFFICIAL USERS OF TELEPHONE SERVICES AT THE STATION, WHICH AMOUNT HAS BEEN COVERED INTO THE TREASURY AS MISCELLANEOUS RECEIPTS.
OVERCOLLECTIONS OF PAYMENTS FROM UNOFFICIAL USERS OF TELEPHONE SERVICES ARE FUNDS RECEIVED "FOR THE USE OF THE UNITED STATES" WITHIN THE MEANING OF THAT PHRASE AS USED IN SECTION 3617, REVISED STATUTES, 31 U.S.C. 484, AND AS SUCH ARE REQUIRED TO BE DEPOSITED INTO THE TREASURY AS MISCELLANEOUS RECEIPTS IN THE ABSENCE OF EXPRESS STATUTORY AUTHORITY TO THE CONTRARY. SEE 5 COMP. GEN. 354 AND 14 ID. 203. TO HOLD THAT SUCH FUNDS ARE AVAILABLE TO OFFSET THE OBLIGATIONS OF THE NON APPROPRIATED FUND ACTIVITY HERE INVOLVED WOULD UTTERLY DISREGARD THE SPECIFIC STATUTE APPLICABLE TO SUCH FUNDS. WE KNOW OF NO AUTHORITY OF LAW NOR HAS ANY BEEN CITED FOR THE ACTION PROPOSED.
ACCORDINGLY IN ANSWER TO YOUR SPECIFIC QUESTION, WE WOULD FEEL COMPELLED TO OBJECT TO THE APPLICATION OF THE UTILITY CHARGES INVOLVED AS AN OFFSET AGAINST THE OVERCOLLECTION OF PAYMENTS FROM UNOFFICIAL USERS OF TELEPHONE SERVICES AT THE NAVAL ORDNANCE TEST STATION, INYOKERN, CHINA LAKE, CALIFORNIA.