B-141525, JAN. 18, 1960

B-141525: Jan 18, 1960

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USA (RET.): REFERENCE IS MADE TO YOUR LETTER OF DECEMBER 7. BY THOSE ORDERS YOU WERE RELIEVED FROM ASSIGNMENT AND DUTY AT WASHINGTON. YOUR HOUSEHOLD GOODS WERE MOVED FROM YOUR RESIDENCE AT FALLS CHURCH. A MEMBER RETIRED WITH PAY WITH EIGHT OR MORE YEARS OF CONTINUOUS ACTIVE DUTY IMMEDIATELY PRECEDING RETIREMENT IS ENTITLED TO REIMBURSEMENT FOR EXPENSES INCURRED FOR SHIPPING HOUSEHOLD EFFECTS WITHIN AUTHORIZED WEIGHT ALLOWANCE FROM HIS LAST OR ANY PREVIOUS DUTY STATION. CLAIMS CONCERNING SHIPMENT OF HOUSEHOLD EFFECTS ARE SETTLED ON A REIMBURSEMENT BASIS AND NOT ON A COMMUTATION BASIS. THE RECORD SHOWS YOU HAVE BORNE NO EXPENSE IN THE SHIPMENT OF YOUR EFFECTS. NOTWITHSTANDING THE FACT THAT IT MAY BE THAT IN CERTAIN CIRCUMSTANCES SUCH CHARGES WHEN PAID BY AN EMPLOYER ARE CONSIDERED AS WAGES TO THE EMPLOYEE.

B-141525, JAN. 18, 1960

TO COLONEL JOHN C. DAMON, USA (RET.):

REFERENCE IS MADE TO YOUR LETTER OF DECEMBER 7, 1959, REQUESTING REVIEW OF SETTLEMENT DATED NOVEMBER 4, 1959, WHICH DISALLOWED YOUR CLAIM FOR THE COST OF TRANSPORTATION FOR YOU AND YOUR DEPENDENTS (WIFEAND FOUR CHILDREN) AND SHIPMENT OF HOUSEHOLD EFFECTS FROM WASHINGTON, D.C., TO SANTA BARBARA, CALIFORNIA, INCIDENT TO ORDERS DATED MAY 11, 1959.

BY THOSE ORDERS YOU WERE RELIEVED FROM ASSIGNMENT AND DUTY AT WASHINGTON, D.C., ON JUNE 30, 1959, AND PLACED ON THE UNITED STATES ARMY RETIRED LIST EFFECTIVE JULY 1, 1959. YOU OBTAINED EMPLOYMENT AT SANTA BARBARA, CALIFORNIA, WITH THE GENERAL ELECTRIC COMPANY AND IN ACCORDANCE WITH THEIR ESTABLISHED PROCEDURE YOU, YOUR FAMILY, AND YOUR HOUSEHOLD GOODS WERE MOVED FROM YOUR RESIDENCE AT FALLS CHURCH, VIRGINIA, TO SANTA BARBARA, CALIFORNIA, AT COMPANY EXPENSE. IT APPEARS TO BE YOUR VIEW THAT THE GOVERNMENT MUST PAY YOU TRAVEL ALLOWANCES INCIDENT TO YOUR RETIREMENT AND AN AMOUNT EQUAL TO THE FREIGHT CHARGES ON YOUR HOUSEHOLD EFFECTS EVEN THOUGH YOU EXPENDED NO FUNDS IN MOVING YOUR FAMILY HOUSEHOLD EFFECTS TO YOUR SELECTED HOME.

UNDER THE PROVISIONS OF THE REGULATIONS GOVERNING SHIPMENT OF HOUSEHOLD EFFECTS OF MILITARY PERSONNEL AT GOVERNMENT EXPENSE INCIDENT TO ORDERED CHANGES OF STATION, A MEMBER RETIRED WITH PAY WITH EIGHT OR MORE YEARS OF CONTINUOUS ACTIVE DUTY IMMEDIATELY PRECEDING RETIREMENT IS ENTITLED TO REIMBURSEMENT FOR EXPENSES INCURRED FOR SHIPPING HOUSEHOLD EFFECTS WITHIN AUTHORIZED WEIGHT ALLOWANCE FROM HIS LAST OR ANY PREVIOUS DUTY STATION, FROM A DESIGNATED PLACE IN THE UNITED STATES, FROM STORAGE, OR ANY COMBINATION THEREOF, TO THE HOME SELECTED BY THE MEMBER. CLAIMS CONCERNING SHIPMENT OF HOUSEHOLD EFFECTS ARE SETTLED ON A REIMBURSEMENT BASIS AND NOT ON A COMMUTATION BASIS. THE RECORD SHOWS YOU HAVE BORNE NO EXPENSE IN THE SHIPMENT OF YOUR EFFECTS, THE FREIGHT CHARGES HAVING BEEN PAID BY YOUR EMPLOYER, APPARENTLY AS A CONDITION OF YOUR EMPLOYMENT. THEREFORE, AND NOTWITHSTANDING THE FACT THAT IT MAY BE THAT IN CERTAIN CIRCUMSTANCES SUCH CHARGES WHEN PAID BY AN EMPLOYER ARE CONSIDERED AS WAGES TO THE EMPLOYEE, THE ACTION TAKEN ON YOUR CLAIM WITH RESPECT TO THE SHIPMENT OF HOUSEHOLD EFFECTS WAS CORRECT AND IS SUSTAINED.

HOWEVER, WITH RESPECT TO YOUR CLAIM FOR REIMBURSEMENT FOR YOUR TRANSPORTATION, IT HAS BEEN HELD THAT, UNDER THE TERMS OF THE APPLICABLE STATUTE WHICH PROVIDES THAT FOR TRAVEL PERFORMED UNDER COMPETENT ORDERS MEMBERS SHALL BE ENTITLED TO TRAVEL AND TRANSPORTATION ALLOWANCES WHICH MAY BE TRANSPORTATION IN KIND, REIMBURSEMENT THEREFOR, OR A "MONETARY ALLOWANCE NOT IN EXCESS OF 7 CENTS PER MILE," A SHOWING OF THE ACTUAL COST OF TRAVEL IS NOT A CONDITION PRECEDENT TO THE PAYMENT OF THE MONETARY ALLOWANCE TO MEMBERS OTHERWISE ENTITLED TO BE PAID TRAVEL ALLOWANCES. VIEW OF THE SIMILARITY OF THE LANGUAGE APPEARING IN THE STATUTE WITH RESPECT TO TRANSPORTATION OF DEPENDENTS, IT REASONABLY IS TO BE CONCLUDED THAT THE SAME RULE IS APPLICABLE TO THE PAYMENT OF A MONETARY ALLOWANCE FOR AUTHORIZED TRAVEL OF DEPENDENTS. THEREFORE, YOU ARE ENTITLED UNDER THE PROVISIONS OF THE APPLICABLE STATUTE AND PARAGRAPHS 4203.3 AND 7003 OF THE JOINT TRAVEL REGULATIONS TO THE REIMBURSEMENT CLAIMED FOR YOUR TRAVEL AND YOUR DEPENDENTS' TRAVEL FROM WASHINGTON, D.C., TO SANTA BARBARA, CALIFORNIA.

ACCORDINGLY, A SETTLEMENT FOR THE CORRECT AMOUNT FOUND DUE YOU ON THAT BASIS WILL ISSUE IN DUE ..END :