B-129549, SEP. 12, 1960

B-129549, SEP. 12, 1960

TO SUMNER G. WHITTIER, ADMINISTRATOR, VETERANS ADMINISTRATION:

FURTHER REFERENCE IS MADE TO YOUR LETTER OF JUNE 17, 1960, WITH ENCLOSURES, REQUESTING THAT WE GIVE FAVORABLE CONSIDERATION TO PERMITTING PREPAYMENT OF FREIGHT CHARGES OF TWENTY PESOS OR LESS ($10 OR LESS IN UNITED STATES CURRENCY), IN CASH, TO THE PHILIPPINE AIR LINES FOR SHIPMENTS OF SMALL PACKAGES OF GOVERNMENT PROPERTY, LIKE CLAIMS FOLDERS AND SUPPLIES, BETWEEN PROVINCES OF THE PHILIPPINE ISLANDS. THIS IS STATED TO BE NECESSARY SINCE THE AIR CARRIER IS ADOPTING A POLICY WHICH WILL REQUIRE THE PREPAYMENT OF ALL FREIGHT CHARGES NOT EXCEEDING TWENTY PESOS FOR SMALL SHIPMENTS AND THAT IT IS IMPERATIVE THAT YOUR MANILA OFFICE USE THE PHILIPPINE AIR LINES.

ALTHOUGH YOUR PROPOSAL TO ALLOW CONSIGNEE-FIELD EXAMINERS TO PAY COLLECT CHARGES ON SMALL SHIPMENTS MADE IN A FOREIGN COUNTRY AND TO CLAIM REIMBURSEMENT ON THEIR TRAVEL REIMBURSEMENT VOUCHERS WAS APPROVED BY OUR DECISION OF MARCH 23, 1960, B-129549, AND IT IS NOW DEEMED UNSATISFACTORY BY YOUR MANILA OFFICE AND THE PHILIPPINE AIR LINES, YOUR PRESENT PROPOSAL TO ALLOW THE PREPAYMENT OF FREIGHT CHARGES OF TWENTY PESOS OR LESS IN CASH TO THE PHILIPPINE AIR LINES FOR SMALL SHIPMENTS OF GOVERNMENT PROPERTY MAY NOT BE APPROVED, SINCE THE PROPOSAL CONTRAVENES AND IS IN CONFLICT WITH R.S. 3648; 31 U.S.C. 529, THE PERTINENT PROVISIONS OF WHICH WERE QUOTED IN OUR DECISION MENTIONED ABOVE. THIS STATUTE PROHIBITS THE ADVANCE OF PUBLIC MONIES "UNLESS AUTHORIZED BY THE APPROPRIATION OR OTHER LAW" AND HAS BEEN HELD TO PROHIBIT THE PREPAYMENT OF TRANSPORTATION CHARGES IN ADVANCE OF THE RENDITION OF SERVICE. 10 OP.ATTY.GEN. 288; 30 COMP. GEN. 348. ALSO SEE OUR DECISION OF JANUARY 6, 1959, B-135157, 38 COMP. GEN. 462, IN WHICH WE CONSIDERED THE REASONS FOR NOT AUTHORIZING THE PAYMENT OF TRANSPORTATION AND RELATED CHARGES BY IMPREST FUNDS. NO LAW OR APPROPRIATION PROVISION WHICH WOULD AUTHORIZE ADVANCE PAYMENTS IN SUCH A CASE HAS BEEN CITED OR HAS COME TO OUR ATTENTION.

IN VIEW OF THE PROBLEMS INVOLVED WITH SMALL SHIPMENTS IN THE PHILIPPINE ISLANDS, IT MAY BE NOTED THAT OUR OFFICE HAS PREVIOUSLY AUTHORIZED, IN CERTAIN UNUSUAL CIRCUMSTANCES, A PROCEDURE TO FACILITATE THE HANDLING OF SMALL, RECURRING SHIPMENTS. UNDER THIS PROCEDURE, THE CARRIER'S SHIPPING DOCUMENTS ARE UTILIZED AND ALL COPIES ARE MARKED (BY USE OF A RUBBER STAMP FURNISHED THE GOVERNMENT AGENT):

"THIS SHIPMENT CONSISTS OF PROPERTY OF THE UNITED STATES AND IS SUBJECT TO THE TERMS AND CONDITIONS SET FORTH IN THE STANDARD FORM OF THE UNITED STATES GOVERNMENT BILL OF LADING AND ANY APPLICABLE CONTRACT OR AGREEMENT WITH THE CARRIER FOR THE TRANSPORTATION OF SHIPMENTS FOR THE UNITED STATES ON GOVERNMENT BILLS OF LADING.'

THE CARRIER IS THEN PERMITTED TO ACCUMULATE SHIPPING DOCUMENTS FOR A GIVEN PERIOD, SUCH AS A MONTH, AND THEN BILL THE ADMINISTRATIVE OFFICE ON A FORM 1113, PUBLIC VOUCHER FOR TRANSPORTATION CHARGES, SUPPORTED BY THE ORIGINAL SHIPPING DOCUMENTS AND A SHOWING OF RECEIPT OF THESE SHIPMENTS BY THE CONSIGNEE. A RESTRICTION IS MADE, GENERALLY, AS TO THE NUMBER OF SHIPMENTS (USUALLY 25) THAT MAY BE INCLUDED IN EACH BILL FOR CHARGES (SF 1113). SUCH PROCEDURE RETAINS THE ADVANTAGES OF A GOVERNMENT BILL OF LADING AND IS NOT IN CONTRAVENTION OF R.S. 3648. SHOULD THIS PROCEDURE OR ANY SIMILAR PROCEDURE, WHICH WOULD DEVIATE FROM THE REQUIREMENTS OF THE GENERAL ACCOUNTING OFFICE POLICY AND PROCEDURES MANUAL, BE AGREEABLE TO THE CARRIER AND OTHERWISE APPEAR FEASIBLE IN ALLEVIATING THE PRESENT PROBLEM IN THE PHILIPPINE ISLANDS, WE WOULD BE PLEASED TO CONSIDER AUTHORIZING ITS USE AT YOUR REQUEST.