B-152247, DEC. 13, 1965

B-152247: Dec 13, 1965

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ADMINISTRATOR IN THE DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT: REFERENCE IS MADE TO LETTER OF JULY 13. 184.50 WAS MADE BY THE DEPARTMENT OF JUSTICE. IT WAS TRANSMITTED TO US AND WE DEPOSITED THE SUM IN THE TREASURY AS MISCELLANEOUS RECEIPTS TO THE CREDIT OF THE ACCOUNT "053060 REFUNDS OF ERRONEOUS PAYMENTS.'. WAS IN ACCORDANCE WITH THE POLICY SET FORTH IN OUR LETTER TO HEADS OF DEPARTMENTS AND AGENCIES DATED MAY 13. THIS POLICY WAS ADOPTED UNDER AUTHORITY OF SECTION 1 (C) OF THE ACT OF JULY 25. WE HAVE FOUND THAT THE RELATIVELY SMALL AMOUNTS DEPOSITED TO APPROPRIATION OR FUND ACCOUNTS DURING A YEAR DO NOT JUSTIFY THE ADDED COSTS INVOLVED IN THE NECESSARY IDENTIFICATION. WE TRUST YOU WILL UNDERSTAND WHY WE DO NOT FEEL WARRANTED IN APPROVING ADJUSTMENT OF THE COLLECTION REQUESTED.

B-152247, DEC. 13, 1965

TO THE HONORABLE ROBERT C. WEAVER, ADMINISTRATOR IN THE DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT:

REFERENCE IS MADE TO LETTER OF JULY 13, 1965, FROM RICHARD L. STILL, ACTING COMMISSIONER, COMMUNITY FACILITIES ADMINISTRATION, HOUSING AND HOME FINANCE AGENCY, REQUESTING THAT A COLLECTION OF $14,184.50 MADE ON ACCOUNT OF AN INDEBTEDNESS AGAINST THE CITY OF ST. AUGUSTINE, FLORIDA, BE TRANSFERRED AND CREDITED TO THE REVOLVING FUND "86X4113 PUBLIC WORKS PLANNING FUND, OFFICE OF THE ADMINISTRATOR, HOUSING AND HOME FINANCE AGENCY," AS PROVIDED IN SECTION 602 (A) OF THE HOUSING ACT OF 1964, APPROVED SEPTEMBER 2, 1964, PUB.L. 88-560, 78 STAT. 799, 40 U.S.C. 462 (E).

IT APPEARS THAT THE COMMUNITY FACILITIES ADMINISTRATION REPORTED THE INDEBTEDNESS HERE FOR COLLECTION, AND THAT SUBSEQUENTLY WE REFERRED THE MATTER TO THE DEPARTMENT OF JUSTICE FOR FURTHER COLLECTION ACTION. WHEN THE COLLECTION OF $14,184.50 WAS MADE BY THE DEPARTMENT OF JUSTICE, IT WAS TRANSMITTED TO US AND WE DEPOSITED THE SUM IN THE TREASURY AS MISCELLANEOUS RECEIPTS TO THE CREDIT OF THE ACCOUNT "053060 REFUNDS OF ERRONEOUS PAYMENTS.'

THE DEPOSIT OF THE COLLECTION IN THE TREASURY AS MISCELLANEOUS RECEIPTS, RATHER THAN AS A REPAYMENT TO THE CITED REVOLVING FUND, WAS IN ACCORDANCE WITH THE POLICY SET FORTH IN OUR LETTER TO HEADS OF DEPARTMENTS AND AGENCIES DATED MAY 13, 1963, B-138706. SEE 4 GAO 5060.10. THIS POLICY WAS ADOPTED UNDER AUTHORITY OF SECTION 1 (C) OF THE ACT OF JULY 25, 1956, 70 STAT. 648, 31 U.S.C. 701 (C), WHICH PROVIDES THAT "* * * ANY COLLECTION MADE BY THE GENERAL ACCOUNTING OFFICE FOR OTHER GOVERNMENT AGENCIES MAY BE DEPOSITED IN THE TREASURY AS MISCELLANEOUS RECEIPTS.'

AS STATED IN THE CIRCULAR LETTER OF MAY 13, 1963, WE HAVE FOUND THAT THE RELATIVELY SMALL AMOUNTS DEPOSITED TO APPROPRIATION OR FUND ACCOUNTS DURING A YEAR DO NOT JUSTIFY THE ADDED COSTS INVOLVED IN THE NECESSARY IDENTIFICATION, SCHEDULING, AND RELATED BOOKKEEPING TRANSACTIONS IN THIS OFFICE, OR IN THE DEPARTMENTS AND AGENCIES CONCERNED, INCLUDING THE TREASURY DEPARTMENT. SINCE DEPOSIT OF THE COLLECTION UNDER CONSIDERATION AS MISCELLANEOUS RECEIPTS PROVIDES THE MOST ECONOMICAL AND SATISFACTORY DISPOSITION THEREOF, AND SINCE THERE APPEARS NOTHING IN THE LETTER OF JULY 13 TO INDICATE THAT SUCH APPLICATION OF THE COLLECTION MATERIALLY AFFECTS THE FUNDING OF THE REVOLVING FUND OR OTHERWISE PRECLUDES EFFECTIVE ACCOMPLISHMENT OF THE REVOLVING FUND PURPOSES, WE TRUST YOU WILL UNDERSTAND WHY WE DO NOT FEEL WARRANTED IN APPROVING ADJUSTMENT OF THE COLLECTION REQUESTED.

IN THIS CONNECTION, WE REFER TO OUR LETTER OF DECEMBER 2, 1965, B 157947, TO YOU, A COPY OF WHICH IS ENCLOSED FOR CONVENIENCE, WHEREIN WE APPROVED THE REQUEST OF THE COMMUNITY FACILITIES ADMINISTRATION, IN ACCORDANCE WITH THE PROVISIONS OF 4 GAO 5050.30G, TO REPORT ADMINISTRATIVELY UNCOLLECTIBLE PUBLIC WORKS ADVANCE PLANNING CLAIMS DIRECTLY TO THE DEPARTMENT OF JUSTICE RATHER THAN TO THE CLAIMS DIVISION OF THE GENERAL ACCOUNTING OFFICE FOR APPROPRIATE COLLECTION ACTION. THE DISPOSITION OF ANY FUNDS COLLECTED BY THE DEPARTMENT OF JUSTICE IN SUCH CASES WOULD NOT, OF COURSE, BE GOVERNED BY THE PROVISIONS OF OUR LETTER OF MAY 13, 1963, B-138706, CITED ABOVE.