A-47488, FEBRUARY 28, 1933, 12 COMP. GEN. 536

A-47488: Feb 28, 1933

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IS PROHIBITED BY SECTION 207 OF THE ECONOMY ACT. IS HEREBY AMENDED TO READ AS FOLLOWS: "SEC. 3. 6 OF THE SAID SUBSISTENCE EXPENSE ACT OF 1926 ARE HEREBY REPEALED. SECTION 7 THEREOF IS HEREBY AMENDED BY STRIKING OUT THE REFERENCE THEREIN TO ACTUAL EXPENSES SO THAT THE SECTION. WILL READ AS FOLLOWS: "SEC. 7. 209 ARE. SUBJECT TO THE FOLLOWING THREE CONDITIONS: (1) ALL PROVISIONS RELATING TO REIMBURSEMENT OF ACTUAL EXPENSES FOR SUBSISTENCE ARE REVOKED. (2) PER DIEM IN LIEU OF ACTUAL EXPENSES FOR SUBSISTENCE MAY BE ALLOWED NOT TO EXCEED THE RATE OF $5 WITHIN THE LIMITS OF CONTINENTAL UNITED STATES. NOT TO EXCEED AN AVERAGE OF $6 BEYOND THE LIMITS OF CONTINENTAL UNITED STATES. (3) REIMBURSABLE TRANSPORTATION CHARGES WILL NOT INCLUDE GRATUITOUS FEES OR TIPS OF ANY KIND.

A-47488, FEBRUARY 28, 1933, 12 COMP. GEN. 536

ECONOMY ACT - TRAVELING EXPENSES - TIPS TO STEWARDS REIMBURSEMENT FOR TIPS TO STEWARDS ON OCEAN LINERS GIVEN AT THE TERMINATION OF A VOYAGE AFTER JUNE 30, 1932, IS PROHIBITED BY SECTION 207 OF THE ECONOMY ACT, 47 STAT. 405, AND BY EXECUTIVE ORDER NO. 5870 OF JUNE 30, 1932, NOTWITHSTANDING THAT THE VOYAGE BEGAN PRIOR TO JULY 1, 1932.

COMPTROLLER GENERAL MCCARL TO THE SECRETARY OF STATE, FEBRUARY 28, 1933:

THERE HAS BEEN RECEIVED YOUR LETTER OF FEBRUARY 17, 1933, AS FOLLOWS:

THE QUESTION HAS COME UP IN THE ADMINISTRATIVE EXAMINATION OF THE ACCOUNTS OF THE FOREIGN SERVICE OFFICERS OF THE DEPARTMENT AS TO WHETHER A CHARGE FOR TIPS ON A STEAMER IN CONNECTION WITH A JOURNEY WHICH BEGAN PRIOR TO JULY 1, 1932, AND TERMINATED ON OR SUBSEQUENT TO THAT DATE, THE TIPS BEING PAID AT THE TERMINATION OF THE JOURNEY, SHOULD BE PRO-RATED OR WHETHER THE ENTIRE CHARGE SHOULD BE DISALLOWED, IN ACCORDANCE WITH EXECUTIVE ORDER NO. 5870 DATED JUNE 30, 1932.

THE DEPARTMENT WOULD APPRECIATE BEING INFORMED AS SOON AS POSSIBLE OF YOUR DECISION IN THIS MATTER.

SECTIONS 207, 208, AND 210 OF THE ECONOMY ACT OF JUNE 30, 1932, 47 STAT. 405 AND 406 PROVIDE:

SEC. 207. SECTION 3 OF THE SUBSISTENCE EXPENSE ACT OF 1926, APPROVED JUNE 3, 1926 (44 STAT. 688, 689), IS HEREBY AMENDED TO READ AS FOLLOWS:

"SEC. 3. CIVILIAN OFFICERS AND EMPLOYEES OF THE DEPARTMENTS AND ESTABLISHMENTS, WHILE TRAVELING ON OFFICIAL BUSINESS AND AWAY FROM THEIR DESIGNATED POSTS OF DUTY, SHALL BE ALLOWED, IN LIEU OF THEIR ACTUAL EXPENSES FOR SUBSISTENCE AND ALL FEES OR TIPS TO PORTERS AND STEWARDS, A PER DIEM ALLOWANCE TO BE PRESCRIBED BY THE HEAD OF THE DEPARTMENT OR ESTABLISHMENT CONCERNED, NOT TO EXCEED THE RATE OF $5 WITHIN THE LIMITS OF CONTINENTAL UNITED STATES, AND NOT TO EXCEED AN AVERAGE OF $6 BEYOND THE LIMITS OF CONTINENTAL UNITED STATES.'

SEC. 208. SECTIONS 4, 5, AND 6 OF THE SAID SUBSISTENCE EXPENSE ACT OF 1926 ARE HEREBY REPEALED, AND SECTION 7 THEREOF IS HEREBY AMENDED BY STRIKING OUT THE REFERENCE THEREIN TO ACTUAL EXPENSES SO THAT THE SECTION, AS AMENDED, WILL READ AS FOLLOWS:

"SEC. 7. THE FIXING AND PAYMENT, UNDER SECTION 3, OF PER DIEM ALLOWANCE, OR PORTIONS THEREOF, SHALL BE IN ACCORDANCE WITH REGULATIONS WHICH SHALL BE PROMULGATED BY THE HEADS OF DEPARTMENTS AND ESTABLISHMENTS AND WHICH SHALL BE STANDARDIZED AS FAR AS PRACTICABLE AND SHALL NOT BE EFFECTIVE UNTIL APPROVED BY THE PRESIDENT OF THE UNITED STATES.'

SEC. 210. THE PROVISIONS OF ALL ACTS HERETOFORE ENACTED INCONSISTENT WITH SECTIONS 207, 208, AND 209 ARE, TO THE EXTENT OF SUCH INCONSISTENCY, HEREBY REPEALED, AND SUCH SECTIONS SHALL TAKE EFFECT ON JULY 1, 1932.

BY EXECUTIVE ORDER NO. 5870 OF JUNE 30, 1932, THE PRESIDENT OF THE UNITED STATES CONTINUED IN EFFECT THE STANDARDIZED GOVERNMENT TRAVEL REGULATIONS, SUBJECT TO THE FOLLOWING THREE CONDITIONS:

(1) ALL PROVISIONS RELATING TO REIMBURSEMENT OF ACTUAL EXPENSES FOR SUBSISTENCE ARE REVOKED.

(2) PER DIEM IN LIEU OF ACTUAL EXPENSES FOR SUBSISTENCE MAY BE ALLOWED NOT TO EXCEED THE RATE OF $5 WITHIN THE LIMITS OF CONTINENTAL UNITED STATES, AND NOT TO EXCEED AN AVERAGE OF $6 BEYOND THE LIMITS OF CONTINENTAL UNITED STATES.

(3) REIMBURSABLE TRANSPORTATION CHARGES WILL NOT INCLUDE GRATUITOUS FEES OR TIPS OF ANY KIND.

WHILE TIPS TO STEWARDS ON OCEAN VESSELS ARE CUSTOMARY, THEY ARE, NEVERTHELESS, GRATUITIES; THAT IS TO SAY, THEY DO NOT CONSTITUTE A CONTRACTUAL OBLIGATION. PRIOR TO JULY 1, 1932, TIPS FOR OCEAN OR COASTWISE VOYAGES WERE LIMITED TO NOT EXCEEDING 10 PERCENT OF THE MINIMUM FIRST-CLASS FARE AND WERE NOT DEPENDENT UPON THE NUMBER OF DAYS OCCUPIED ON THE VOYAGE. ACCORDINGLY, THERE WOULD BE NO BASIS FOR PRORATING SUCH TIPS WHEN THE VOYAGE BEGAN PRIOR TO JULY 1, 1932, BUT CONTINUED UNTIL AFTER THAT TIME, EVEN IF SUCH PRORATING WERE OTHERWISE AUTHORIZED; AND AS SUCH TIPS ARE PAID AT THE TERMINATION OF THE VOYAGE AT WHICH TIME REIMBURSEMENT THEREFOR WAS SPECIFICALLY PROHIBITED BY STATUTE AND BY EXECUTIVE ORDER, REIMBURSEMENT MAY NOT BE MADE FOR ANY PORTION OF THE TIPS GIVEN AT THE TERMINATION OF SUCH A VOYAGE AFTER JUNE 30, 1932.