A-48132, APRIL 4, 1933, 12 COMP. GEN. 566

A-48132: Apr 4, 1933

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AMENDED - ALLOWANCES OF ENLISTED MEN - OFFICERS AND EMPLOYEES SERVING ABROAD - INCREASES IN PAY OF ENLISTED MEN FOR SPECIAL QUALIFICATIONS THE STATION MONETARY ALLOWANCE IN LIEU OF QUARTERS AND RATIONS PAYABLE TO ENLISTED MEN IS A PART OF COMPENSATION AND SUBJECT TO 15 PERCENT REDUCTION UNDER THE ACT OF MARCH 20. THE FURLOUGH RATIONS ALLOWANCE AND THE CLOTHING MONEY ALLOWANCE PAYABLE ON DISCHARGE TO ENLISTED MEN DO NOT CONSTITUTE A PART OF COMPENSATION AND ARE NOT SUBJECT TO REDUCTION UNDER THE ACT AND EXECUTIVE ORDER. OFFICERS AND EMPLOYEES OF THE UNITED STATES SERVING ABROAD WILL NOT BE ENTITLED TO A REFUND OR ADJUSTMENT OF COMPENSATION ON ACCOUNT OF TRANSIT TIME. LEAVE IN CONNECTION WITH FURLOUGH AND LEAVE WITH PAY WITH WHICH THEY MAY HAVE BEEN CHARGED DURING THE FISCAL YEAR 1933.

A-48132, APRIL 4, 1933, 12 COMP. GEN. 566

ECONOMY ACT, AMENDED - ALLOWANCES OF ENLISTED MEN - OFFICERS AND EMPLOYEES SERVING ABROAD - INCREASES IN PAY OF ENLISTED MEN FOR SPECIAL QUALIFICATIONS THE STATION MONETARY ALLOWANCE IN LIEU OF QUARTERS AND RATIONS PAYABLE TO ENLISTED MEN IS A PART OF COMPENSATION AND SUBJECT TO 15 PERCENT REDUCTION UNDER THE ACT OF MARCH 20, 1933, 48 STAT. 12, AND EXECUTIVE ORDER OF MARCH 28, 1933, BUT THE FURLOUGH RATIONS ALLOWANCE AND THE CLOTHING MONEY ALLOWANCE PAYABLE ON DISCHARGE TO ENLISTED MEN DO NOT CONSTITUTE A PART OF COMPENSATION AND ARE NOT SUBJECT TO REDUCTION UNDER THE ACT AND EXECUTIVE ORDER. UNDER SECTION 215 OF THE ECONOMY ACT OF JUNE 30, 1932, AS AMENDED BY SECTION 4 (C) OF THE ACT OF MARCH 20, 1933, 48 STAT. 14, OFFICERS AND EMPLOYEES OF THE UNITED STATES SERVING ABROAD WILL NOT BE ENTITLED TO A REFUND OR ADJUSTMENT OF COMPENSATION ON ACCOUNT OF TRANSIT TIME, AND LEAVE IN CONNECTION WITH FURLOUGH AND LEAVE WITH PAY WITH WHICH THEY MAY HAVE BEEN CHARGED DURING THE FISCAL YEAR 1933, PRIOR TO THE ENACTMENT OF THE ACT OF MARCH 20, 1933. INCREASES IN COMPENSATION OF ENLISTED MEN OF THE ARMY AS THE RESULT OF ADMINISTRATIVE SELECTION UNDER AUTHORITY OF LAW AFTER QUALIFICATION BY THE ENLISTED MAN ARE NOT PROHIBITED AS AUTOMATIC PROMOTIONS UNDER SECTION 201 OF THE ECONOMY ACT AS EXTENDED BY THE ACT OF MARCH 20, 1933, 48 STAT. 13, BUT THE INCREASE IS SUBJECT TO 15 PERCENT REDUCTION UNDER THE TERMS OF THE LATER STATUTE.

COMPTROLLER GENERAL MCCARL TO THE SECRETARY OF WAR, APRIL 4, 1933:

THERE HAS BEEN RECEIVED YOUR LETTER OF MARCH 22, 1933, REQUESTING DECISION UPON A NUMBER OF QUESTIONS ARISING UNDER THE ACTS OF MARCH 3, 1933, 47 STAT. 1513, AND MARCH 20, 1933, 48 STAT. 12. THE QUESTIONS WILL BE QUOTED AND ANSWERED IN ORDER.

(A) WHAT WILL BE THE METHOD OF ACCOUNTING FOR DEDUCTIONS FROM COMPENSATION MADE IN ACCORDANCE WITH EXECUTIVE ORDERS ISSUED UNDER THE PROVISIONS OF SECTIONS 2 AND 3 OF TITLE II OF THE ACT OF MARCH 20, 1933?

REFERENCE IN THIS CONNECTION IS MADE TO THE INSTRUCTIONS CONTAINED IN CIRCULAR NO. 34, WAR DEPARTMENT, JULY 29, 1932, RELATIVE TO ACCOUNTING FOR FURLOUGH DEDUCTIONS UNDER THE ACT OF JUNE 30, 1932.

THE ACCOUNTING PROCEDURE UNDER THE CITED STATUTES WILL BE FURNISHED YOU IN DUE COURSE. SEE CIRCULAR OF THIS OFFICE OF MARCH 30, 1933.

(B) UNDER THE DEFINITION OF THE TERM "COMPENSATION" CONTAINED IN SECTION 1 (B) TITLE II, ACT OF MARCH 20, 1933, ARE THE FOLLOWING INCLUDED IN THE TERM "ALLOWANCE" AS USED IN THIS SECTION:

(1) STATION MONETARY ALLOWANCE IN LIEU OF QUARTERS AND RATIONS PAYABLE TO ENLISTED MEN UNDER THE PROVISIONS OF TITLE I, PARAGRAPH 2, AR 35-4520.

(2) FURLOUGH RATION ALLOWANCE UNDER THE PROVISIONS OF PARAGRAPH 8, AR 35- 4520.

(3) CLOTHING MONEY ALLOWANCES PAYABLE TO THE SOLDIER ON DISCHARGE UNDER THE PROVISIONS OF PARAGRAPH 2, AR 35-2520.

(4) REENLISTMENT ALLOWANCES UP TO JUNE 30, 1933, UNDER THE PROVISIONS OF SECTIONS 9 AND 10, ACT JUNE 30, 1922 (U.S.C., TITLE 37, SECS. 13 AND 16), AND AR 35-2420.

IN DECISION OF MARCH 31, 1933, A-48029, 12 COMP. GEN. 560, TO THE SECRETARY OF THE NAVY, IT WAS STATED:

THE CASH ALLOWANCE IN LIEU OF QUARTERS AND RATIONS TO ENLISTED MEN, EXCEPT THE ALLOWANCES PRESCRIBED THEREUNDER FOR ENLISTED MEN TRAVELING, COME WITHIN THE DEFINITION OF COMPENSATION IN SEC. 1 (B), TITLE II OF THE ACT OF MARCH 20, 1933, PUBLIC, NO. 2, AND WILL BE SUBJECT TO DEDUCTIONS ON AND AFTER APRIL 1, 1933, AND DURING THE FISCAL YEAR 1933 BY 15 PERCENT IN ACCORDANCE WITH EXECUTIVE ORDER OF MARCH 28, 1933.

APPLYING THIS PRINCIPLE, THE ALLOWANCE AS MENTIONED IN PARAGRAPH (1) WILL BE SUBJECT TO THE 15 PERCENT REDUCTION.

AS TO THE FURLOUGH RATION (2), SECTION 1293, REVISED STATUTES (10 U.S.C. SUPP. V, SECTION 716 (B) (, PROVIDES "ENLISTED MEN SHALL BE ENTITLED TO RECEIVE ONE RATION DAILY" AND THE ANNUAL APPROPRIATION ACT FOR THE ARMY, SEE ACT OF MARCH 4, 1933, 47 STAT. 1576, FOR THE FISCAL YEAR 1934, UNDER "SUBSISTENCE OF THE ARMY," APPROPRIATES FUNDS---

FOR PAYMENTS: OF THE REGULATION ALLOWANCES OF COMMUTATION IN LIEU OF RATIONS TO ENLISTED MEN ON FURLOUGH.

IT IS UNDERSTOOD THAT THE FURLOUGH RATION IS NOT AN ALLOWANCE AS IS THE ALLOWANCE FOR SUBSISTENCE GRANTED BY SECTION 11 OF THE PAY ACT OF JUNE 10, 1922, 42 STAT. 630, BUT IS A PAYMENT FIXED AT A RATE NOT IN EXCESS OF THE VALUE OF THE RATION FURNISHED IN KIND TO THE ENLISTED MAN WHEN ON DUTY. SEE AR 35-4520, PARAGRAPHS 8 AND 21 (B). IF THIS IS CORRECT, THE MONEY PAYMENT IS A MERE SUBSTITUTE FOR THE RATION IN KIND AND IS NOT REQUIRED TO BE REDUCED.

CLOTHING ALLOWANCE MENTIONED IN PARAGRAPH (3) IS NOT IN REALITY A CASH ALLOWANCE, BUT THE SAVING MADE BY THE ENLISTED MAN FROM THE ALLOWANCE FOR CLOTHING IN KIND DURING HIS ENLISTMENT, AND IS NOT TO BE REGARDED AS "COMPENSATION" AND WILL NOT BE SUBJECT TO THE 15 PERCENT REDUCTION. AS TO PARAGRAPH (4), DECISION OF MARCH 31, 1933, A-48029, SUPRA, STATES:

THE ENLISTMENT ALLOWANCE PURSUANT TO SECTION 10 OF THE ACT OF JUNE 10, 1922, 42 STAT. 630, IS PAYABLE IN A LUMP SUM TO ENLISTED MEN UPON REENLISTMENT WITHIN THREE MONTHS AFTER HONORABLE DISCHARGE. IT IS NOT COMPUTED UPON THE RATE OF PAY OF THE ENLISTED MAN AND IS NOT A PAYMENT FOR SERVICES RENDERED, BUT IS A BONUS OR GRATUITY FOR REENLISTMENT; IT IS NOT COMPENSATION AS DEFINED IN THE ACT OF MARCH 20, 1933, AND IS NOT SUBJECT TO REDUCTION BY ANY REQUIREMENT IN THAT ACT.

(C) UNDER SECTION 215 OF THE ACT OF JUNE 30, 1932, AS AMENDED BY SECTION 4 (C) OF THE ACT OF MARCH 20, 1933, WILL OFFICERS AND EMPLOYEES OF THE UNITED STATES BE ENTITLED TO A REFUND OR ADJUSTMENT ON ACCOUNT OF TRANSIT TIME AND LEAVE IN CONNECTION WITH FURLOUGHS AND LEAVE WITH PAY WITH WHICH THEY MAY HAVE BEEN CHARGED DURING THE FISCAL YEAR 1933, PRIOR TO THE ENACTMENT OF THE ACT OF MARCH 3, 1933, AND MARCH 20, 1933?

SECTION 6 (A) OF THE ACT OF MARCH 3, 1933, 47 STAT. 1515, PROVIDES:

SECTIONS 103 AND 215 OF THE LEGISLATIVE APPROPRIATION ACT, FISCAL YEAR 1933, SHALL BE HELD APPLICABLE TO THE OFFICERS AND EMPLOYEES OF THE PANAMA CANAL AND PANAMA RAILROAD COMPANY ON THE ISTHMUS OF PANAMA, AND TO OFFICERS AND EMPLOYEES OF THE UNITED STATES (INCLUDING ENLISTED PERSONNEL) HOLDING OFFICIAL STATION OUTSIDE THE CONTINENTAL UNITED STATES, ONLY TO EXTENT OF DEPRIVING EACH OF THEM OF ONE MONTH'S LEAVE OF ABSENCE WITH PAY DURING EACH OF THE FISCAL YEARS ENDING JUNE 30, 1933, AND JUNE 30, 1934.

SECTION 4 (C) OF THE ACT OF MARCH 20, 1933, PUBLIC, NO. 2, 48 STAT. 14, PROVIDES:

SECTION 215 OF THE LEGISLATIVE APPROPRIATION ACT, FISCAL YEAR 1933 (RELATING TO THE LIMITATION ON ANNUAL LEAVE), IS AMENDED BY STRIKING OUT "PROVIDED FURTHER, THAT NOTHING HEREIN SHALL APPLY TO CIVILIAN OFFICERS AND EMPLOYEES OF THE PANAMA CANAL LOCATED ON THE ISTHMUS AND WHO ARE AMERICAN CITIZENS, OR TO OFFICERS AND EMPLOYEES OF THE FOREIGN SERVICES OF THE UNITED STATES HOLDING OFFICIAL STATION OUTSIDE THE CONTINENTAL UNITED STATES" AND INSERTING IN LIEU THEREOF "PROVIDED FURTHER, THAT NOTHING HEREIN SHALL APPLY TO OFFICERS AND EMPLOYEES OF THE PANAMA CANAL AND PANAMA RAILROAD COMPANY ON THE ISTHMUS OF PANAMA OR TO OFFICERS AND EMPLOYEES OF THE UNITED STATES (INCLUDING ENLISTED PERSONNEL) HOLDING OFFICIAL STATION OUTSIDE THE CONTINENTAL UNITED STATES OR IN ALASKA.'

IT IS TO BE OBSERVED THAT SECTION 215 PRESCRIBES THE LEAVE OF ABSENCE THAT MAY BE GRANTED TO CIVILIAN OFFICERS AND EMPLOYEES AND IS NOT THEREFORE APPLICABLE TO OFFICERS, WARRANT OFFICERS, AND NURSES OF THE ARMY.

IN THE ABSENCE OF ANY PROVISIONS SPECIFICALLY FIXING ANOTHER EFFECTIVE DATE, BOTH OF THE QUOTED PROVISIONS ARE TO BE REGARDED AS BEING EFFECTIVE ON THE DATES OF THE ACTS IN WHICH THEY APPEAR, VIZ, MARCH 3 AND MARCH 20, 1933, RESPECTIVELY, AND WOULD NOT OPERATE RETROACTIVELY EFFECTIVE TO REQUIRE ANY REFUND OR ADJUSTMENT OF COMPENSATION DEDUCTIONS REQUIRED UNDER THE FURLOUGH PROVISION OF THE ECONOMY ACT IN EFFECT FROM JULY 1, 1932, TO MARCH 31, 1933, INCLUSIVE. THE QUESTION IS ANSWERED IN THE NEGATIVE WITH THE UNDERSTANDING THAT IT DOES NOT RELATE TO THE GRANTING OF LEAVE OF ABSENCE WITH PAY ON AND AFTER MARCH 3, 1933, AND PRIOR TO MARCH 20, 1933, UNDER THE TERMS OF SECTION 6 (A) OF THE ACT OF MARCH 3, 1933, MODIFYING SECTION 103 IN ITS APPLICATION TO OFFICERS AND EMPLOYEES SERVING ABROAD, OR ON AND AFTER APRIL 1, 1933, THE EFFECTIVE DATE OF THE REPEAL OF SECTION 103 OF THE ECONOMY ACT SUSPENDING THE RIGHT TO RECEIVE ANNUAL LEAVE OF ABSENCE WITH PAY.

(D) HOW SHOULD THE ACCOUNTS OF OFFICERS, WARRANT OFFICERS, AND NURSES BE STATED TO SHOW THE DEDUCTIONS UNDER TITLE II, SECTION 2 (B), ACT OF MARCH 20, 1933, AND SECTION 3 (B), SAME ACT, WHICH LATTER SECTION PROVIDES IN PART AS FOLLOWS:

"PROVIDED, THAT SUCH PERCENTAGE OF REDUCTION (INCLUDING REDUCTIONS MADE UNDER ANY EXISTING LAW, REGULATION, OR EXECUTIVE ORDER IN THE CASE OF SUBSISTENCE AND RENTAL ALLOWANCES FOR THE SERVICES MENTIONED IN THE PAY ACT OF JUNE 10, 1922) SHALL NOT EXCEED 15 PERCENTUM.'

IN THE REPLY TO THIS QUESTION IT IS REQUESTED THAT IT BE SHOWN HOW THE PAY OF A COLONEL WITH DEPENDENTS WITH OVER 30 YEARS' SERVICE, AND WHO IS ON A RENTAL ALLOWANCE STATUS DRAWING THE PAY OF THE SIXTH PAY PERIOD SHOULD BE COMPUTED, AND WHAT HIS PAY SHOULD BE UNDER THIS ACT.

THE PRINCIPLES ON THE BASIS OF WHICH THE ACCOUNTS OF OFFICERS, WARRANT OFFICERS, AND NURSES SHOULD BE STATED TO SHOW DEDUCTIONS IN COMPENSATION AND ALLOWANCES UNDER TITLE II OF THE ACT OF MARCH 20, 1933, ARE GIVEN IN DECISION OF MARCH 31, 1933, A-48029, SUPRA, AND NEED NOT BE REPEATED HERE.

(E) SECTION 201 OF THE ACT OF JUNE 30, 1932, IS CONTINUED BY SECTION 4 (A), TITLE II, ACT OF MARCH 3, 1933, AND SECTION 4 (A), TITLE II, ACT OF MARCH 20, 1933. IN VIEW OF YOUR DECISION (12 COMP. GEN. 37) RENDERED TO THIS DEPARTMENT ON JULY 14, 1932, TO THE EFFECT THAT THE PROHIBITION AGAINST INCREASE IN COMPENSATION BY REASON OF LENGTH OF SERVICE OR PROMOTION HAD NO APPLICATION TO ENLISTED MEN BECAUSE OF THE LANGUAGE OF THE SECTION ITSELF, INFORMATION IS NOW REQUESTED WHETHER ENLISTED MEN ARE STILL CONSIDERED EXEMPT FROM THE PROVISIONS OF THIS SECTION UNDER THE ACT AS AMENDED. IF THE ABOVE QUESTION IS ANSWERED IN THE NEGATIVE WHICH, IF ANY, OF THE BELOW LISTED CHANGES IN PAY STATUS OF ENLISTED MEN WILL BE PERMISSIBLE AFTER MARCH 31, 1933?

APPOINTMENT AS AIR MECHANIC, 2D CLASS, FROM SOLDIER WITHOUT RATING.

APPOINTMENT AS AIR MECHANIC, 1ST CLASS, FROM AIR MECHANIC, 2D CLASS.

APPOINTMENT AS SPECIALIST FROM SOLDIER WITHOUT RATING.

APPOINTMENT AS SPECIALIST FROM SOLDIER WITH RATING TO HIGHER RATING.

QUALIFICATION PAY FOR USE OF ARMS.

DECISION OF MARCH 31, 1933, A-48029, STATES:

* * * ADMINISTRATIVE PROMOTIONS OF ENLISTED PERSONNEL, WHERE AUTHORIZED BY LAW AND NOT AUTOMATIC IN CHARACTER, ARE NOT PROHIBITED BY THE AMENDMENTS OF THE ECONOMY ACT. SECTION 202 OF THE ECONOMY ACT OF JUNE 30, 1932, 47 STAT. 403, PROHIBITED ADMINISTRATIVE PROMOTIONS "IN THE CIVIL BRANCH" OF THE GOVERNMENT AND WHILE THIS SECTION WAS NOT CONTINUED IN EITHER THE ACT OF MARCH 3, 1933, OR THE ACT OF MARCH 20, 1933, THE ACT OF MARCH 3, 1933, SUBSTITUTED THEREFOR SECTION 7, WHICH LIKEWISE PROHIBITED ADMINISTRATIVE PROMOTIONS ONLY "IN THE CIVIL BRANCH" OF THE GOVERNMENT.

AS ALL OF THE CHANGES IN STATUS LISTED UNDER THIS QUESTION ARE THE RESULT OF ADMINISTRATIVE SELECTION UNDER AUTHORITY OF LAW AFTER QUALIFICATION BY THE ENLISTED MEN, INCREASES IN COMPENSATION RESULTING THEREFROM ARE NOT PROHIBITED AS AUTOMATIC PROMOTIONS UNDER THE TERMS OF SECTION 201 OF THE ECONOMY ACT AS EXTENDED.

HOWEVER, AS TO QUALIFICATION PAY FOR USE OF ARMS, THIS, IT IS PRESUMED, IS THE PAY FIXED UNDER SECTION 18 OF THE ACT OF JUNE 10, 1922, 42 STAT. 632, WHICH AUTHORIZES UNDER SUCH REGULATIONS AS THE PRESIDENT MAY PRESCRIBE, ADDITIONAL COMPENSATION FOR ENLISTED MEN OF THE ARMY, NAVY, MARINE CORPS, AND COAST GUARD, NOT LESS THAN $1 NOR MORE THAN $5 PER MONTH, FOR SPECIAL QUALIFICATION IN THE USE OF THE ARM OR ARMS WHICH THEY MAY BE REQUIRED TO USE, THE RATES BEING PUBLISHED IN A.R. 34-2380. THIS IS COMPENSATION WITHIN THE DEFINITION CONTAINED IN SECTION 1 (B), TITLE II, OF THE ACT OF MARCH 20, 1933, IT IS APPROPRIATE TO POINT OUT THAT THE RATES SO PRESCRIBED ARE REQUIRED TO BE REDUCED BY THE PERCENTAGE THAT HAS BEEN OR MAY BE PRESCRIBED BY THE PRESIDENT UNDER SECTIONS 2 AND 3 OF TITLE II OF THE LAST-CITED ACT.

(F) IN THE CASE OF THE NEW OFFICER OR EMPLOYEE WHO HAS TAKEN THE FULL CALENDAR MONTH OR 24 WORKING DAYS' LEGISLATIVE FURLOUGH PRIOR TO APRIL 1, AND WHO SUFFERED A DEDUCTION FROM HIS PAY FOR THAT PERIOD OF ABSENCE, WILL IT BE NECESSARY TO MAKE THE FULL DEDUCTION PRESCRIBED IN THE EXECUTIVE ORDER TO BE ISSUED UNDER THE PROVISIONS OF SECTION 3 (B), ACT OF MARCH 20, 1933, OR SHOULD SUCH SALARIES BE REDUCED FOR THE PERIOD APRIL 1 TO AND INCLUDING JUNE 30, 1933, ONLY BY THE DIFFERENCE BETWEEN THE PERCENTUM ANNOUNCED THEREIN AND 8 1/3 PERCENTUM UNDER THE ACT OF JUNE 30, 1932?

THIS QUESTION HAS BEEN ANSWERED AS FOLLOWS IN DECISION OF MARCH 25, 1933, A-48034, 12 COMP. GEN. 557, TO THE SECRETARY OF AGRICULTURE:

ACCORDINGLY, YOU ARE ADVISED THAT THE AMOUNT OF FURLOUGH DEDUCTIONS MADE FROM COMPENSATION PRIOR TO APRIL 1, 1933, OR THE AMOUNT OF LEGISLATIVE FURLOUGH TAKEN ON OR AFTER THAT DATE MAY NOT BE REGARDED AS A FACTOR IN DETERMINING THE RATES OF COMPENSATION TO BE PAID FOR SERVICES ON AND AFTER APRIL 1, 1933, UNDER THE TERMS OF SECTION 3 OF TITLE II OF THE ACT OF MARCH 20, 1933, AND ANY EXECUTIVE ORDER ISSUED PURSUANT THERETO.