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B-175424, FEB 8, 1973

B-175424 Feb 08, 1973
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COSTS RELATED TO THE PREPARATION OF A CONVEYANCE AND FOR ATTENDANCE BY THE EMPLOYEE'S ATTORNEY AT THE CLOSING ON THE SALE OF HIS RESIDENCE ARE REIMBURSABLE UNDER OMB CIRCULAR NO. IF THE EMPLOYEE'S ABSENCE FROM THE CLOSING WAS NECESSITATED BY THE GOVERNMENT'S ACTION IN TRANSFERRING HIM. THOSE ATTORNEY'S FEES FOR REPRESENTATION AND ADVICE IN CONNECTION WITH THE CONVEYANCE AND FOR SERVICES NORMALLY PERFORMED BY A BROKER ARE NOT REIMBURSABLE. LEGAL FEES ARE REIMBURSABLE ONLY TO THE EXTENT ALLOWED BY SECTION 4.2C OF OFFICE OF MANAGEMENT AND BUDGET (OMB) CIRCULAR NO. WHICH PROVIDES AS FOLLOWS: "*** TO THE EXTENT SUCH COSTS HAVE NOT BEEN INCLUDED IN BROKERS' OR SIMILAR SERVICES FOR WHICH REIMBURSEMENT IS CLAIMED UNDER OTHER CATEGORIES.

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B-175424, FEB 8, 1973

CIVILIAN PERSONNEL - OFFICIAL STATION TRANSFER - SALE OF RESIDENCE - ATTORNEY'S FEES DECISION ALLOWING IN PART THE CLAIM OF EUGENE B. ROCHE, AN EMPLOYEE OF THE FEDERAL MEDIATION AND CONCILIATION SERVICE, FOR LEGAL EXPENSES INCURRED BY HIM IN CONNECTION WITH THE SALE OF HIS RESIDENCE IN SALT LAKE CITY, UTAH, INCIDENT TO A TRANSFER OF OFFICIAL STATION. COSTS RELATED TO THE PREPARATION OF A CONVEYANCE AND FOR ATTENDANCE BY THE EMPLOYEE'S ATTORNEY AT THE CLOSING ON THE SALE OF HIS RESIDENCE ARE REIMBURSABLE UNDER OMB CIRCULAR NO. A-56, SECTION 4.2C, IF THE EMPLOYEE'S ABSENCE FROM THE CLOSING WAS NECESSITATED BY THE GOVERNMENT'S ACTION IN TRANSFERRING HIM. B-176876, NOVEMBER 27, 1972. HOWEVER, THOSE ATTORNEY'S FEES FOR REPRESENTATION AND ADVICE IN CONNECTION WITH THE CONVEYANCE AND FOR SERVICES NORMALLY PERFORMED BY A BROKER ARE NOT REIMBURSABLE. CF. B- 174630, JANUARY 12, 1972.

TO MISS ROSE M. SPERLING:

YOUR LETTER OF OCTOBER 4, 1972, REQUESTS OUR DECISION AS TO WHETHER YOU MAY CERTIFY FOR PAYMENT THE ENCLOSED VOUCHER OF MR. EUGENE B. ROCHE, AN EMPLOYEE OF THE FEDERAL MEDIATION AND CONCILIATION SERVICE, FOR $165 REPRESENTING LEGAL FEES INCURRED IN CONNECTION WITH THE SALE OF HIS RESIDENCE IN SALT LAKE CITY, UTAH, INCIDENT TO A TRANSFER OF OFFICIAL STATION.

LEGAL FEES ARE REIMBURSABLE ONLY TO THE EXTENT ALLOWED BY SECTION 4.2C OF OFFICE OF MANAGEMENT AND BUDGET (OMB) CIRCULAR NO. A-56, REVISED AUGUST 17, 1971, WHICH PROVIDES AS FOLLOWS:

"*** TO THE EXTENT SUCH COSTS HAVE NOT BEEN INCLUDED IN BROKERS' OR SIMILAR SERVICES FOR WHICH REIMBURSEMENT IS CLAIMED UNDER OTHER CATEGORIES, THE FOLLOWING EXPENSES ARE REIMBURSABLE WITH RESPECT TO THE SALE AND PURCHASE OF RESIDENCES IF THEY ARE CUSTOMARILY PAID BY THE SELLER OF A RESIDENCE AT THE OLD OFFICIAL STATION OR IF CUSTOMARILY PAID BY THE PURCHASER OF A RESIDENCE AT THE NEW OFFICIAL STATION, TO THE EXTENT THEY DO NOT EXCEED AMOUNTS CUSTOMARILY CHARGED IN THE LOCALITY OF THE RESIDENCE; COSTS OF (1) SEARCHING TITLE, PREPARING ABSTRACT, AND LEGAL FEES FOR A TITLE OPINION, OR (2) WHERE CUSTOMARILY FURNISHED BY THE SELLER, THE COST OF A TITLE INSURANCE POLICY; COSTS OF PREPARING CONVEYANCES, OTHER INSTRUMENTS, AND CONTRACTS; RELATED NOTARY FEES AND RECORDING FEES; COSTS OF MAKING SURVEYS, PREPARING DRAWINGS OR PLATS WHEN REQUIRED FOR LEGAL OR FINANCING PURPOSES; AND SIMILAR EXPENSES. COSTS OF LITIGATION ARE NOT REIMBURSABLE."

THIS OFFICE HAS HELD ON NUMEROUS OCCASIONS THAT FEES PAID BY AN EMPLOYEE FOR LEGAL REPRESENTATION AND ADVICE IN CONNECTION WITH THE SALE OR PURCHASE OF A RESIDENCE ARE NOT REIMBURSABLE UNDER THE PROVISIONS OF OMB CIRCULAR NO. A-56, QUOTED ABOVE. SEE 48 COMP. GEN. 469 (1969).

THE STATEMENT OF BEASLIN, NYGAARD, COKE AND VINCENT, ATTORNEYS FOR THE EMPLOYEE IN THIS REAL ESTATE TRANSACTION, SHOWS THAT $20 WAS PAID FOR THE CORRECTION AND EXPLANATION OF DISCREPANCIES IN THE DEED DESCRIPTION AND SURVEY REPORT, ETC. SINCE THIS IS A COST RELATED TO THE PREPARATION OF A CONVEYANCE, IT IS REIMBURSABLE. THE STATEMENT ALSO SHOWS THAT $35 WAS PAID FOR THE ATTENDANCE OF MR. ROCHE'S ATTORNEY AT THE CLOSING IN HIS ABSENCE. INASMUCH AS MR. ROCHE'S ABSENCE WAS APPARENTLY NECESSITATED BY THE GOVERNMENT'S ACTION IN TRANSFERRING HIM TO A DISTANT POST THIS ITEM IS REIMBURSABLE. B-176876, NOVEMBER 27, 1972, COPY ENCLOSED. OUR EXAMINATION OF THE STATEMENT INDICATES THE REMAINING SERVICES WERE FOR REPRESENTATION AND ADVICE OR FOR THE PERFORMANCE OF SERVICES WHICH, IN MANY LOCALITIES, ARE PERFORMED BY BROKERS. THERE IS NO INDICATION IN THE PRESENT RECORD THAT SUCH SERVICES WERE REQUIRED TO BE PERFORMED BY AN ATTORNEY. ACCORDINGLY, SUCH ITEMS ARE FOR DISALLOWANCE. CF. B-174630, JANUARY 12, 1972.

THE TRAVEL VOUCHER IS RETURNED HEREWITH FOR PROCESSING IN ACCORDANCE WITH THE ABOVE.

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