B-86001, FEBRUARY 3, 1954, 33 COMP. GEN. 336

B-86001, FEBRUARY 3, 1954, 33 COMP. GEN. 336

PENSIONS - STATUS AS INCOME FOR DEPENDENCY ALLOWANCE PURPOSES A PENSION IS SIMILAR TO WAGES AND SALARIES IN THAT IT IS PAYABLE IN STATED INSTALLMENTS AND MAINLY DESIGNED FOR THE MAINTENANCE OF THE PENSIONER AND DEPENDENTS, AND THEREFORE THE AMOUNT OF A SPANISH AMERICAN WAR PENSION RECEIVED BY THE MOTHER OF AN ARMY OFFICER SHOULD BE CONSIDERED AS INCOME FOR DEPENDENCY ALLOWANCE PURPOSES IN DETERMINING ENTITLEMENT OF THE OFFICER TO INCREASED ALLOWANCE AS FOR AN OFFICER WITH A DEPENDENT MOTHER FOR PERIOD PRIOR TO JULY 31, 1950 (DAY PRECEDING EFFECTIVE DATE OF DEPENDENTS ASSISTANCE ACT OF 1950). THE FACT THAT AN ARMY OFFICER'S MONTHLY CONTRIBUTION TO MOTHER WAS IN EXCESS OF MOTHER'S INDEPENDENT INCOME DOES NOT ESTABLISH THAT MOTHER WAS IN FACT DEPENDENT ON OFFICER FOR CHIEF SUPPORT, AND THEREFORE AN ARMY OFFICER'S MOTHER WHOSE AVERAGE MONTHLY INCOME (INCLUDING SPANISH AMERICAN WAR PENSION) FOR PERIOD PRIOR TO JULY 31, 1950, WAS MORE THAN ONE-HALF OF AVERAGE MONTHLY EXPENSES MAY NOT BE CONSIDERED AS DEPENDENT ON THE OFFICER FOR CHIEF SUPPORT SO AS TO ENTITLE THE OFFICER TO INCREASED ALLOWANCES FOR AN OFFICER WITH A DEPENDENT MOTHER FOR SUCH PERIOD.

ASSISTANT COMPTROLLER GENERAL WEITZEL TO THE SECRETARY OF THE ARMY, FEBRUARY 3, 1954:

REFERENCE IS MADE TO LETTER DATED JANUARY 12, 1953, WITH ENCLOSURES, FROM THE CHIEF OF FINANCE, CONCERNING INCREASED RENTAL AND SUBSISTENCE ALLOWANCES AND SAVED TOTAL COMPENSATION PAID TO CAPTAIN HENRY P. CARRINGTON, JR., 3-352502, FA, USA, AS FOR AN OFFICER WITH A DEPENDENT MOTHER AND TO AN INVESTIGATION MADE BY REPRESENTATIVES OF THIS OFFICE WHICH INDICATED THAT THE MOTHER WAS NOT IN FACT DEPENDENT ON THE OFFICER FOR CHIEF SUPPORT.

THE INVESTIGATION MADE BY REPRESENTATIVES OF THIS OFFICE, INCLUDING A PERSONAL INTERVIEW WITH THE MOTHER, DISCLOSED THAT THE OFFICER HAD IN EFFECT AN ALLOTMENT OF HIS PAY IN HER FAVOR IN THE AMOUNT OF $100 PER MONTH FROM JUNE 1949 THROUGH SEPTEMBER 1950, AND IN THE AMOUNT OF $200 PER MONTH FOR THE PERIOD FROM OCTOBER 1950 THROUGH MARCH 1951; THAT HER INCOME FROM OTHER SOURCES AMOUNTED TO $212.80 PER MONTH IN 1948, $202.50 MONTH IN 1951, FROM SALARY, THE RENTAL OF ROOMS AND A $90 SPANISH-AMERICAN WAR PENSION AWARDED TO HER HUSBAND BUT PAID TO HER AS COMMITTEE; AND THAT HER LIVING EXPENSES AVERAGED $240 PER MONTH, INCLUDING $10 MAILED TO THE MANAGER OF A VETERANS ADMINISTRATION HOSPITAL FOR THE USE OF HER HUSBAND. WHILE DURING THE INVESTIGATION OF THIS CASE BY THE DEPARTMENT OF THE ARMY CERTAIN CONDITIONS WERE MADE WITH RESPECT TO THE EXPENSES OF THE MOTHER INCIDENT TO THE RENTAL OF ROOMS, IT DOES NOT APPEAR THAT REDUCING HER INCOME FROM THAT SOURCE ACCORDINGLY WOULD MATERIALLY AFFECT HER DEPENDENCY STATUS.

RECONSIDERATION OF THE MATTER IS REQUESTED IN VIEW OF DOUBT WHETHER THE PENSION PAYMENTS SHOULD BE CONSIDERED AS "INCOME" IN A DETERMINATION OF THE MOTHER'S DEPENDENCY STATUS. IT HAS BEEN HELD BY THE COURTS AND THE ACCOUNTING OFFICERS THAT, SINCE A PENSION IS SIMILAR TO WAGES AND SALARIES IN THAT IT IS PAYABLE IN STATED INSTALLMENTS AND MAINLY DESIGNED FOR THE MAINTENANCE OF THE PENSIONER AND DEPENDENTS, THE AMOUNT THEREOF SHOULD BE CONSIDERED AS INCOME FOR DEPENDENCY ALLOWANCE PURPOSES, AND THAT THE FACT THAT AN OFFICER'S MONTHLY CONTRIBUTION TO HIS MOTHER WAS IN EXCESS OF HER INDEPENDENT INCOME DOES NOT OF ITSELF ESTABLISH TAHT SHE WAS DEPENDENT ON HIM FOR HER CHIEF SUPPORT, BUT THAT IT MUST BE SHOWN THAT HIS CONTRIBUTION WAS REQUIRED FOR HER NECESSARY AND PROPER SUPPORT, AND THAT IT CONSTITUTED THE CHIEF PART OF SUCH SUPPORT.

SINCE THE AVERAGE MONTHLY INCOME OF THE MOTHER, INCLUDING THE AMOUNT OF THE PENSION PAYMENTS, WAS MORE THAN ONE-HALF OF HER AVERAGE MONTHLY LIVING EXPENSES, IT MUST BE CONCLUDED THAT SHE WAS NOT IN FACT DEPENDENT ON THE OFFICER FOR CHIEF SUPPORT DURING THE PERIOD FROM JANUARY 1948 THROUGH JULY 31, 1950. ACCORDINGLY, FURTHER CONSIDERATION BY THE DEPARTMENT OF THE ARMY WITH A VIEW TOWARD RECOVERY OF THE INCREASED ALLOWANCE PAYMENTS MADE TO CAPTAIN CARRINGTON ON ACCOUNT OF HIS MOTHER THROUGH JULY 31, 1950, AND INFORMATION AS TO THE AMOUNT COLLECTED, WILL BE APPRECIATED.

IN VIEW OF THE PROVISIONS OF THE DEPENDENTS ASSISTANCE ACT OF 1950, 64 STAT. 794, NO DETERMINATION IS MADE HEREIN CONCERNING THE INCREASED ALLOWANCE PAYMENTS MADE TO THE OFFICER AFTER JULY 31, 1950. SEE DECISION OF THIS OFFICE DATED JANUARY 11, 1951, B-90615, 30 COMP. GEN. 282.

THE PAPERS TRANSMITTED WITH THE LETTER OF JANUARY 12, 1953, ARE ENCLOSED.