A-12324, AUGUST 17, 1926, 6 COMP. GEN. 120
Highlights
THIS OFFICE CAN NOT UNDERTAKE TO DETERMINE AT THIS TIME WHETHER THE SCHEDULE OF RATES AS SUBMITTED IN FACT REPRESENT THE REASONABLE VALUE TO THE EMPLOYEES OF WHAT IS FURNISHED. THE EXCEPTION REFERRED TO ABOVE IS THE PROVISION IN THE REGULATIONS OF NOVEMBER 30. WHICH READS: ALL EMPLOYEES AT SCHOOLS OR HOSPITALS WHO ARE AFFORDED THE PRIVILEGE OF BOARDING AT GOVERNMENT TABLES. WHOSE POSITIONS ARE ALLOCATED ABOVE GRADE 2. WHOSE POSITIONS ARE ALLOCATED IN GRADE 2 OR UNDER. SUCH A BASIS IS NOT PROPER. WHICH WAS THE ONLY SUBSISTENCE AVAILABLE TO THE EMPLOYEE OF THE LOWER GRADE. WAS OF A HIGHER CLASS. IT IS HARDLY CONCEIVABLE THAT AN EMPLOYEE RECEIVING A SALARY OF $65 A MONTH WOULD NOT ORDINARILY EXPEND MORE THAN $10.
A-12324, AUGUST 17, 1926, 6 COMP. GEN. 120
COMPENSATION - VALUE OF ALLOWANCES IN KIND FURNISHED FIELD EMPLOYEES WHILE THE GENERAL ACCOUNTING OFFICE ACCEPTS TENTATIVELY THE SCHEDULE OF RATES FIXED BY THE DEPARTMENT OF THE INTERIOR FOR THE VALUE OF QUARTERS AND SUBSISTENCE FURNISHED FIELD EMPLOYEES OF THE INDIAN SERVICE, NATIONAL PARK SERVICE, BUREAU OF EDUCATION IN ALASKA, AND THE GEOLOGICAL SURVEY, TO BE CONSIDERED AS A PART OF THE TOTAL RATE OF COMPENSATION OF EMPLOYEES, IN ACCORDANCE WITH SECTION 3 OF THE ACT OF MARCH 2, 1926, 44 STAT. 161, IT RESERVES THE RIGHT TO QUESTION ANY OR ALL OF SAID RATES AT ANY TIME UPON THE DISCOVERY OF FACTS OR CIRCUMSTANCES TENDING TO INDICATE THAT SAID RATES DO NOT REPRESENT THE REASONABLE VALUE TO THE EMPLOYEE. DIFFERENT VALUES FOR THE SAME SUBSISTENCE GENERALLY, HOWEVER, MAY NOT BE FIXED ON THE BASIS OF THE SALARY OF THE EMPLOYEE.
COMPTROLLER GENERAL MCCARL TO THE SECRETARY OF THE INTERIOR, AUGUST 17, 1926:
CONSIDERATION HAS BEEN GIVEN TO YOUR LETTER OF JULY 16, 1926, FORWARDING FOR CONSIDERATION A SCHEDULE OF RATES FOR VALUE OF QUARTERS AND SUBSISTENCE FURNISHED IN KIND TO FIELD EMPLOYEES OF THE INDIAN SERVICE, NATIONAL PARK SERVICE, BUREAU OF EDUCATION IN ALASKA, AND GEOLOGICAL SURVEY, TO BE CONSIDERED AS A PART OF THE TOTAL RATE OF COMPENSATION OF EMPLOYEES, IN ACCORDANCE WITH SECTION 3 OF THE ACT OF MARCH 2, 1926, 44 STAT. 161. DECISION OF JUNE 3, 1926, 5 COMP. GEN. 957.
IF THE RATES REPRESENT THE REASONABLE VALUE TO THE EMPLOYEES OF THE QUARTERS AND SUBSISTENCE FURNISHED IN KIND THEY MAY BE ACCEPTED AS IN COMPLIANCE WITH THE LAW. 5 COMP. GEN. 957. THIS OFFICE CAN NOT UNDERTAKE TO DETERMINE AT THIS TIME WHETHER THE SCHEDULE OF RATES AS SUBMITTED IN FACT REPRESENT THE REASONABLE VALUE TO THE EMPLOYEES OF WHAT IS FURNISHED, AND WHILE, WITH THE EXCEPTION HEREINAFTER NOTED, THEY MAY BE ACCEPTED TENTATIVELY, THIS OFFICE RESERVES THE RIGHT TO QUESTION ANY OR ALL OF SAID RATES AT ANY TIME UPON THE DISCOVERY OF FACTS OR CIRCUMSTANCES TENDING TO INDICATE THAT SAID RATES DO NOT REPRESENT THE REASONABLE VALUE TO THE EMPLOYEE. THE EXCEPTION REFERRED TO ABOVE IS THE PROVISION IN THE REGULATIONS OF NOVEMBER 30, 1925, RELATIVE TO THE INDIAN SERVICE, WHICH READS:
ALL EMPLOYEES AT SCHOOLS OR HOSPITALS WHO ARE AFFORDED THE PRIVILEGE OF BOARDING AT GOVERNMENT TABLES, WHOSE POSITIONS ARE ALLOCATED ABOVE GRADE 2, SHALL BE CHARGED $15 A MONTH. ALL EMPLOYEES SIMILARLY SITUATED, WHOSE POSITIONS ARE ALLOCATED IN GRADE 2 OR UNDER, SHALL BE CHARGED $10 A MONTH FOR BOARD.
THIS PLACES A DIFFERENT VALUE ON THE SAME SUBSISTENCE RECEIVED BY EMPLOYEES IN DIFFERENT SALARY GRADES IN ORDER THAT A LESS AMOUNT BE DEDUCTED FROM THE SALARY OF THE LOWER-PAID EMPLOYEES. SUCH A BASIS IS NOT PROPER. OBVIOUSLY THE VALUE OF THE SAME SUBSISTENCE FURNISHED AT THE SAME TABLE TO EMPLOYEES IN DIFFERENT SALARY GRADES WOULD BE THE SAME UNLESS IT COULD BE SHOWN THAT THE SUBSISTENCE FURNISHED, AND WHICH WAS THE ONLY SUBSISTENCE AVAILABLE TO THE EMPLOYEE OF THE LOWER GRADE, WAS OF A HIGHER CLASS--- MORE EXPENSIVE--- THAN AN EMPLOYEE IN LIKE CIRCUMSTANCES ORDINARILY WOULD PROVIDE FOR HIMSELF. FURTHERMORE, IT IS HARDLY CONCEIVABLE THAT AN EMPLOYEE RECEIVING A SALARY OF $65 A MONTH WOULD NOT ORDINARILY EXPEND MORE THAN $10, OR EVEN $15, A MONTH FOR SUBSISTENCE.
YOU EXPLAIN THE MATTER AS FOLLOWS:
IN REGARD TO THE REGULATION OF THE BUREAU OF INDIAN AFFAIRS DATED NOVEMBER 30, 1925, PERTAINING TO SUBSISTENCE FURNISHED EMPLOYEES, IT IS BELIEVED THAT YOUR OFFICE WAS NOT COGNIZANT OF SOME OF THE CONDITIONS ENTERING INTO THE CONSIDERATION OF THIS QUESTION WHEN THE DECISION OF JUNE 3 WAS PROMULGATED. ONLY A SMALL NUMBER OF EMPLOYEES IN THE INDIAN FIELD SERVICE ARE FURNISHED SUBSISTENCE AND THEN ONLY WHEN IT IS REQUIRED FOR THE BEST INTEREST OF THE SERVICE. MOST OF THOSE BEING FURNISHED SUBSISTENCE ARE INDIAN EMPLOYEES HOLDING POSITIONS CARRYING A GROSS SALARY OF $65 A MONTH. THESE EMPLOYEES ARE USUALLY FORMER STUDENTS AND ARE ASSIGNED AS ASSISTANTS TO THE OTHER EMPLOYEES. THEY ARE CARRIED ON THE ROLLS AS SALARIED EMPLOYEES, BUT THEIR SERVICE IN A MEASURE ALSO IS CONSIDERED A PART OF THEIR EDUCATION AND TRAINING FOR APPOINTMENT TO SUCH POSITIONS AS THEY MAY LATER BE FOUND QUALIFIED TO FILL; AND WHILE THE DEDUCTION IS ONLY $10 A MONTH FOR SUBSISTENCE THEY EAT WITH THE PUPILS AND THE PER CAPITA COST FOR MEALS IS LESS THAN $8 A MONTH. THESE INDIAN EMPLOYEES ARE REQUIRED TO LIVE AT THE SCHOOLS AND WOULD NOT BE PERMITTED TO RESIDE ELSEWHERE IF THEY COULD AND SO DESIRED.
IT IS NECESSARY TO PROVIDE A FEW OTHER EMPLOYEES WITH SUBSISTENCE, SUCH AS THOSE AT HOSPITALS AND SEVERAL OF THE SMALL BOARDING SCHOOLS WHERE THERE ARE NOT SUFFICIENT EMPLOYEES TO JUSTIFY THEM IN MAINTAINING THEIR OWN MESS. IN SUCH CASES THE CHARGE FOR SUBSISTENCE IS $15 A MONTH, AS THE COST IS APPRECIABLE MORE THAN FOR MEALS SUPPLIED PUPILS AND EMPLOYEES SERVED AT THE SAME TABLES. DUE TO THE ISOLATION OF MOST OF THE SCHOOLS THE COST MUST NECESSARILY BE THE PRINCIPAL FACTOR IN DETERMINING THE REASONABLE VALUE TO THE EMPLOYEE OF THE SUBSISTENCE FURNISHED INASMUCH AS IT COULD NOT BE OBTAINED ELSEWHERE. A DEDUCTION OF $15 A MONTH WAS DEEMED A REASONABLE CHARGE UNDER ALL THE CONDITIONS, PARTICULARLY AS THE COST TO THE GOVERNMENT IS MATERIALLY LESS THAN THAT AMOUNT. ONE OF THE REASONS FOR THIS LOW COST IS THAT PROPOSALS ARE CALLED FOR ONCE A YEAR FOR SUPPLIES FOR THE ENTIRE SERVICE AND BECAUSE OF THE LARGE QUANTITIES REQUIRED THERE IS A GOOD DEAL OF COMPETITION AMONG BIDDERS. MOREOVER, THERE IS A FARM CONNECTED WITH EACH SCHOOL PRIMARILY FOR THE PURPOSE OF GIVING PUPILS INSTRUCTION ALONG AGRICULTURAL LINES. A REASONABLE VALUE IS PLACED UPON THE PRODUCTS OF THESE FARMS AND YET THEY AID MATERIALLY IN REDUCING THE COST OF SUBSISTENCE. THE MATTER OF FURNISHING SUBSISTENCE TO EMPLOYEES HAS BEEN GIVEN A GREAT DEAL OF CONSIDERATION, AND IN GENERAL IT IS NOW THE PRACTICE TO FURNISH SUBSISTENCE ONLY WHEN IT IS NOT PRACTICABLE FOR THEM TO PROCURE IT ELSEWHERE. IT IS BELIEVED THAT THE RATES FIXED BY THE INDIAN BUREAU ARE REASONABLE AND WITHIN THE PURVIEW OF YOUR DECISION AND THAT THE PLAN IS THE MOST FEASIBLE ONE THAT CAN BE APPLIED TO THE PECULIAR CONDITIONS EXISTING IN ITS FIELD SERVICE.
IF THIS EXPLANATION IS INTENDED TO SHOW THAT THE EMPLOYEES WHOSE SUBSISTENCE HAS BEEN FIXED AT $15 PER MONTH DO NOT EAT AT THE SAME TABLES AND ARE NOT FURNISHED THE SAME CLASS OF SUBSISTENCE AS EMPLOYEES WHOSE SUBSISTENCE HAS BEEN FIXED AT $10 PER MONTH, THEN THE REGULATIONS ARE MISLEADING.
THE VIEW OF THIS OFFICE THAT DIFFERENT VALUES FOR THE SAME SUBSISTENCE GENERALLY MAY NOT BE FIXED ON THE BASIS OF THE SALARY OF THE EMPLOYEE MUST BE AND IS ADHERED TO. ..END :