A-82348, DECEMBER 22, 1936, 16 COMP. GEN. 611

A-82348: Dec 22, 1936

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1936 - UNAUTHORIZED REGULATIONS - HOME OWNERS' LOAN CORPORATION THE HOME OWNERS' LOAN CORPORATION IS A CORPORATION "CREATED UNDER AUTHORITY OF AN ACT OF CONGRESS WHICH IS EITHER WHOLLY CONTROLLED OR WHOLLY OWNED BY THE UNITED STATES GOVERNMENT" WITHIN THE MEANING OF SECTIONS 6 AND 7 OF BOTH THE ANNUAL AND SICK LEAVE ACTS OF MARCH 14. ARE UNAUTHORIZED AND SHOULD BE RESCINDED. SUCH LEAVE GRANTED TO EMPLOYEES UPON SEPARATION FROM SAID CORPORATION WILL BE REGARDED AS "UNACCRUED LEAVE ADVANCED" AND CHARGED TO FUTURE ACCRUALS OF LEAVE EARNED WHILE EMPLOYED IN ANOTHER FEDERAL AGENCY. WAS APPOINTED OCTOBER 8. JUNIOR AUDITOR IN THE GENERAL ACCOUNTING OFFICE AND IS NOW SERVING IN THAT CAPACITY. THERE IS FORWARDED HEREWITH A TRANSCRIPT OF THE LEAVE RECORD OF MR.

A-82348, DECEMBER 22, 1936, 16 COMP. GEN. 611

LEAVES OF ABSENCE - ANNUAL AND SICK - ACTS MARCH 14, 1936 - UNAUTHORIZED REGULATIONS - HOME OWNERS' LOAN CORPORATION THE HOME OWNERS' LOAN CORPORATION IS A CORPORATION "CREATED UNDER AUTHORITY OF AN ACT OF CONGRESS WHICH IS EITHER WHOLLY CONTROLLED OR WHOLLY OWNED BY THE UNITED STATES GOVERNMENT" WITHIN THE MEANING OF SECTIONS 6 AND 7 OF BOTH THE ANNUAL AND SICK LEAVE ACTS OF MARCH 14, 1936, 49 STAT. 1161 AND 1162, MAKING SAID ACTS APPLICABLE TO THE PERSONNEL OF SUCH CORPORATIONS. PROVISIONS OF THE REGULATIONS ISSUED BY THE FEDERAL HOME LOAN BANK BOARD EFFECTIVE JULY 1, 1936, WHICH PURPORT TO AUTHORIZE THE GRANTING TO EMPLOYEES OF THE HOME OWNERS' LOAN CORPORATION OF ANY LEAVE WITH PAY, WHETHER DESIGNATED AS ANNUAL, SICK, SEPARATION NOTICE SPECIAL LEAVE, OR OTHERWISE, IN EXCESS OF LEAVE AUTHORIZED BY THE ANNUAL AND SICK LEAVE STATUTES OF MARCH 14, 1936, 49 STAT. 1161 AND 1162, AND PRESIDENTIAL REGULATIONS ISSUED THEREUNDER, ARE UNAUTHORIZED AND SHOULD BE RESCINDED. THE GRANTING BY THE HOME OWNERS' LOAN CORPORATION TO EMPLOYEES SEPARATED FROM THE SERVICE OF SPECIAL TERMINATION LEAVE NOT BEING AUTHORIZED BY THE ANNUAL LEAVE ACT OF MARCH 14, 1936, 49 STAT. 1161, OR PRESIDENTIAL REGULATIONS ISSUED THEREUNDER, SUCH LEAVE GRANTED TO EMPLOYEES UPON SEPARATION FROM SAID CORPORATION WILL BE REGARDED AS "UNACCRUED LEAVE ADVANCED" AND CHARGED TO FUTURE ACCRUALS OF LEAVE EARNED WHILE EMPLOYED IN ANOTHER FEDERAL AGENCY.

ACTING COMPTROLLER GENERAL ELLIOTT TO THE CHAIRMAN, FEDERAL HOME LOAN BANK BOARD, DECEMBER 22, 1936:

STANLEY F. DAVIS, A FORMER EMPLOYEE OF THE HOME OWNERS' LOAN CORPORATION, WAS APPOINTED OCTOBER 8, 1936, JUNIOR AUDITOR IN THE GENERAL ACCOUNTING OFFICE AND IS NOW SERVING IN THAT CAPACITY.

THE HOME OWNERS' LOAN CORPORATION INFORMED THIS OFFICE OF THE LEAVE RECORD OF THE ABOVE-NAMED EMPLOYEE, BY LETTERS DATED OCTOBER 19 AND NOVEMBER 19, 1936, AS FOLLOWS:

IN REPLY TO YOUR LETTER OF OCTOBER 14, 1936, THERE IS FORWARDED HEREWITH A TRANSCRIPT OF THE LEAVE RECORD OF MR. STANLEY F. DAVIS, A FORMER EMPLOYEE OF THE HOME OWNERS' LOAN CORPORATION.

TABLE

UNUSED ANNUAL 1935 ANNUAL USED 1936 SICK USED 1936 W.O.P.

USED 1936 14 2/14 DA. ---------- 33 8/14 DA. ---------- 5 7/14 DA. ------ - NONE. SPECIAL TERMINATION LEAVE, 6 2/14 DA.

THE ABOVE SICK LEAVE WAS TAKEN ON THE EMPLOYEE'S OWN SIGNED STATEMENT.

MR. DAVIS WAS EMPLOYED IN THIS CORPORATION FROM MARCH 27, 1934, THROUGH SEPTEMBER 29, 1936.

IN REPLY TO YOUR LETTER OF NOVEMBER 17, RELATIVE TO SPECIAL TERMINATION LEAVE OF MR. STANLEY F. DAVIS, PLEASE REFER TO SECTION E OF THE ATTACHED LEAVE REGULATIONS.

YOU WILL NOTE THAT THIS SECTION PROVIDES THAT AT THE DISCRETION OF THE DEPARTMENT HEAD, UPON INVOLUNTARY SEPARATION FROM THE SERVICE, TWO WEEKS SPECIAL TERMINATION LEAVE MAY BE GRANTED, WHICH PERIOD IS TO INCLUDE WHATEVER ANNUAL LEAVE IS TO HIS CREDIT AT THE TIME.

IN THE CASE OF MR. DAVIS, HE HAD 5 DAYS ANNUAL LEAVE TO HIS CREDIT WHICH WAS USED DURING THE SEPARATION NOTICE PERIOD OF TWO WEEKS. THE BALANCE OF THE TIME, 6 2/14 DAYS, IS THE SPECIAL TERMINATION LEAVE.

THE INTRODUCTORY PARAGRAPH OF THE "REGULATIONS RELATING TO LEAVE OF EMPLOYEES" ISSUED BY THE FEDERAL HOME LOAN BANK BOARD, EFFECTIVE JULY 1, 1936, IS AS FOLLOWS:

BE IT RESOLVED, THAT PURSUANT TO THE AUTHORITY VESTED IN THE BOARD BY HOME OWNERS' LOAN ACT OF 1933 (48 STAT. 128, 129) AS AMENDED BY SECTIONS 1 AND 13 OF THE ACT OF APRIL 27, 1934 (48 STAT. 643-647) AND PARTICULARLY BY SECTIONS 4-A AND 4-K OF SAID ACT AS AMENDED, CHAPTER IX, SECTION 15, OF THE MANUAL OF RULES AND REGULATIONS FOR REGIONAL OFFICES, AND CHAPTER XIV, SECTION 15, OF THE STATE MANUAL, ARE HEREBY AMENDED TO READ AS FOLLOWS:

SECTIONS 6 AND 7 OF BOTH THE ANNUAL AND SICK LEAVE ACTS OF MARCH 14, 1936, 49 STAT. 1161 AND 1162, ENACTED SUBSEQUENT TO THE STATUTES PROVIDING FOR THE CREATION OF THE HOME OWNERS' LOAN CORPORATION AND DEFINING THE REGULATORY POWERS OF THE FEDERAL HOME LOAN BANK BOARD CITED IN THE QUOTED INTRODUCTION OF THE LEAVE REGULATIONS PRESCRIBED BY THE BOARD, PROVIDE AS FOLLOWS:

THE EMPLOYEES OF ANY CORPORATION CREATED UNDER AUTHORITY OF AN ACT OF CONGRESS WHICH IS EITHER WHOLLY CONTROLLED OR WHOLLY OWNED BY THE UNITED STATES GOVERNMENT, WHETHER OR NOT THE EMPLOYEES THEREOF ARE PAID FROM FUNDS APPROPRIATED BY CONGRESS, SHALL BE INCLUDED WITHIN THE PROVISIONS OF THIS ACT.

THE LEAVE OF ABSENCE HEREIN PROVIDED FOR SHALL BE ADMINISTERED UNDER SUCH REGULATIONS AS THE PRESIDENT MAY PRESCRIBE, SO AS TO OBTAIN, SO FAR AS PRACTICABLE, UNIFORMITY IN THE APPLICATION OF THIS ACT.

PURSUANT TO THE LAST-QUOTED SECTION OF EACH OF THESE STATUTES THE PRESIDENT, BY EXECUTIVE ORDERS NOS. 7409 AND 7410, PROMULGATED UNIFORM ANNUAL AND SICK LEAVE REGULATIONS EFFECTIVE JULY 1, 1936, APPLICABLE TO ALL PERSONNEL THROUGHOUT THE FEDERAL SERVICE COMING WITHIN THE PURVIEW OF THE STATUTES.

THE HOME OWNERS' LOAN CORPORATION IS A CORPORATION "CREATED UNDER AUTHORITY OF AN ACT OF CONGRESS WHICH IS EITHER WHOLLY CONTROLLED OR WHOLLY OWNED BY THE UNITED STATES GOVERNMENT" AND ACCORDINGLY ITS EMPLOYEES ARE SUBJECT TO THE PROVISIONS OF THE LEAVE ACTS OF MARCH 14, 1936, AND THE UNIFORM REGULATIONS PROMULGATED BY THE PRESIDENT PURSUANT THERETO. THEREFORE, ALL PROVISIONS OF THE REGULATIONS ISSUED BY THE BOARD EFFECTIVE JULY 1, 1936, AS PURPORT TO AUTHORIZE THE GRANTING OF ANY LEAVE WITH PAY--- WHETHER DESIGNATED AS ANNUAL LEAVE, SICK LEAVE, SEPARATION NOTICE SPECIAL LEAVE OR OTHERWISE--- IN EXCESS OF THE LEAVE AUTHORIZED BY THE STATUTES OF MARCH 14, 1936, AND THE REGULATIONS PRESCRIBED BY THE PRESIDENT PURSUANT THERETO, ARE UNAUTHORIZED AND SHOULD BE RESCINDED.

SECTION 5 OF THE UNIFORM ANNUAL LEAVE REGULATIONS ISSUED BY THE PRESIDENT PROVIDES AS FOLLOWS:

EMPLOYEES TRANSFERRED OR REAPPOINTED WITHOUT BREAK IN SERVICE FROM ONE PERMANENT POSITION TO ANOTHER PERMANENT POSITION WITHIN THE SAME OR A DIFFERENT GOVERNMENTAL AGENCY SHALL AT THE TIME OF THE TRANSFER BE CREDITED WITH ACCUMULATED LEAVE AND CHARGED WITH UNACCRUED LEAVE ADVANCED.

THE EXCESS LEAVE WITH PAY GRANTED BY THE HOME OWNERS' LOAN CORPORATION TO STANLEY F. DAVIS WILL BE REGARDED BY THIS OFFICE AS "UNACCRUED LEAVE ADVANCED" UNDER THE ABOVE QUOTED REGULATION AND CHARGED TO FUTURE ACCRUALS OF LEAVE EARNED BY HIM WHILE EMPLOYED IN THIS OFFICE. SUCH ACTION WILL BE TAKEN WITH REGARD TO OTHER EMPLOYEES TRANSFERRED FROM THE HOME OWNERS' LOAN CORPORATION.

THIS MATTER IS CALLED TO YOUR ATTENTION FOR SUCH ACTION AS MAY BE DEEMED PROPER TO CORRECT THE UNAUTHORIZED ADMINISTRATIVE PRACTICE IN THE MATTER OF GRANTING LEAVE TO EMPLOYEES.