B-153015, DEC. 23, 1963

B-153015: Dec 23, 1963

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BATTLE CREEK FEDERAL CENTER: REFERENCE IS MADE TO YOUR LETTER OF DECEMBER 3. WAS AUTHORIZED TRANSPORTATION OF HIS HOUSEHOLD GOODS. CHAYET) IS FOUND IN TABLE 3 OF GENERAL SERVICES ADMINISTRATION CIRCULAR NO. 263. 840 POUNDS TRANSPORTED A DISTANCE OF 120 MILES IS $6.15 OR A TOTAL OF $359.16. WE HAVE BEEN INFORMALLY ADVISED BY OFFICIALS OF THE GENERAL SERVICES ADMINISTRATION THAT NO ERROR EXISTS IN THE COMMUTED RATES AS PRESCRIBED IN TABLE 3. THE PRESIDENT TRANSFERRED TO THE ADMINISTRATOR OF GENERAL SERVICES THE AUTHORITY TO ESTABLISH THE COMMUTED RATES FOR USE IN REIMBURSING EMPLOYEES WHO ARE TRANSFERRED WITHIN THE CONTINENTAL UNITED STATES FOR THE EXPENSES OF MOVING THEIR HOUSEHOLD GOODS.

B-153015, DEC. 23, 1963

TO MR. JOHN H. GREVE, FISCAL OFFICER, BATTLE CREEK FEDERAL CENTER:

REFERENCE IS MADE TO YOUR LETTER OF DECEMBER 3, 1963, WITH ENCLOSURES, REQUESTING A DECISION AS TO THE PROPRIETY OF CERTIFYING FOR PAYMENT A VOUCHER IN FAVOR OF MURRAY A. CHAYET FOR $359.16, REPRESENTING THE COMMUTED COST OF TRANSPORTATION OF HOUSEHOLD GOODS INCIDENT TO A CHANGE OF OFFICIAL STATION WITHIN THE CONTINENTAL UNITED STATES.

BY TRAVEL AUTHORIZATION NO. 513, DATED SEPTEMBER 30, 1963, MR. CHAYET, A CIVILIAN EMPLOYEE OF THE DEFENSE LOGISTICS SERVICES CENTER, WAS AUTHORIZED TRANSPORTATION OF HIS HOUSEHOLD GOODS, NOT TO EXCEED 7,000 NET POUNDS, AND STORAGE, NOT TO EXCEED 60 DAYS, IN CONNECTION WITH HIS CHANGE OF OFFICIAL STATION FROM DETROIT, MICHIGAN TO BATTLE CREEK, MICHIGAN. MR. CHAYET SUBMITTED HIS VOUCHER REQUESTING REIMBURSEMENT FOR 5,840 POUNDS AT THE COMMUTED RATE OF $6.15 PER HUNDRED WEIGHT AND ATTACHED THERETO A PAID MICHIGAN INTRASTATE COMBINATION UNIFORM HOUSEHOLD GOODS BILL OF LADING AND FREIGHT BILL IN THE AMOUNT OF $192.74, TOGETHER WITH WEIGHT TICKET NO. 12880 SHOWING THE GROSS, TARE AND NET WEIGHTS OF THE SHIPMENT.

THE COMMUTED RATE PER 100 POUNDS, APPLICABLE TO A SHIPMENT OF HOUSEHOLD GOODS ORIGINATING IN OAKLAND COUNTY, MICHIGAN (RESIDENCE OF MR. CHAYET) IS FOUND IN TABLE 3 OF GENERAL SERVICES ADMINISTRATION CIRCULAR NO. 263, REVISION NO. 4, DATED SEPTEMBER 30, 1963, AND EFFECTIVE FOR TRANSPORTATION BEGUN ON AND AFTER OCTOBER 1, 1963. AS STATED IN YOUR LETTER, THE RATE PER HUNDRED WEIGHT FOR 5,840 POUNDS TRANSPORTED A DISTANCE OF 120 MILES IS $6.15 OR A TOTAL OF $359.16. DUE TO THE WIDE DISCREPANCY BETWEEN THE RATES PRESCRIBED IN TABLE 3 OF GSA CIRCULAR NO. 263, AND THOSE APPLIED UNDER THE MICHIGAN INTRASTATE TARIFF, YOU EXPRESS DOUBT IN REIMBURSING MR. CHAYET ON THE COMMUTED BASIS. WE HAVE BEEN INFORMALLY ADVISED BY OFFICIALS OF THE GENERAL SERVICES ADMINISTRATION THAT NO ERROR EXISTS IN THE COMMUTED RATES AS PRESCRIBED IN TABLE 3.

SECTION 1 (B) OF THE ADMINISTRATIVE EXPENSES ACT OF 1946, 60 STAT. 806, AS AMENDED, 5 U.S.C. 73B-1 (B) PROVIDES IN PERTINENT PART AS FOLLOWS:

"/B) REIMBURSEMENT OF TRANSFERRED EMPLOYEES IN LIEU OF PAYMENT OF ACTUAL EXPENSES.

"IN LIEU OF THE PAYMENT OF ACTUAL EXPENSES OF TRANSPORTATION, PACKING, CRATING, TEMPORARY STORAGE, DRAYAGE, AND UNPACKING OF HOUSEHOLD GOODS AND PERSONAL EFFECTS, IN THE CASE OF SUCH TRANSFERS BETWEEN POINTS IN CONTINENTAL UNITED STATES, REIMBURSEMENT SHALL BE MADE TO THE OFFICER OR EMPLOYEE ON A COMMUTED BASIS (NOT TO EXCEED THE AMOUNT WHICH WOULD BE ALLOWABLE FOR THE AUTHORIZED WEIGHT ALLOWANCE) AT SUCH RATES PER ONE HUNDRED POUNDS AS MAY BE FIXED BY ZONES IN REGULATIONS PRESCRIBED BY THE PRESIDENT * * *"

BY EXECUTIVE ORDER NO. 11012 OF MARCH 27, 1962, THE PRESIDENT TRANSFERRED TO THE ADMINISTRATOR OF GENERAL SERVICES THE AUTHORITY TO ESTABLISH THE COMMUTED RATES FOR USE IN REIMBURSING EMPLOYEES WHO ARE TRANSFERRED WITHIN THE CONTINENTAL UNITED STATES FOR THE EXPENSES OF MOVING THEIR HOUSEHOLD GOODS.

IN THIS REGARD, SECTION 2, PARAGRAPH 2.1 (D) OF BUREAU OF THE BUDGET CIRCULAR NO. A-56, EFFECTIVE JUNE 1, 1962, PROVIDES:

"D. REIMBURSEMENT FOR TRANSPORTATION EXPENSES. WHEN THE COMMUTED RATE SYSTEM IS USED, THE AMOUNT TO BE PAID TO THE EMPLOYEE FOR TRANSPORTATION AND RELATED SERVICES IS COMPUTED BY MULTIPLYING THE NUMBER OF HUNDREDS OF POUNDS SHIPPED (AS SHOWN ON ORIGINAL BILLS OF LADING OR OTHER EVIDENCE OF WEIGHT SHIPPED) BY THE APPLICABLE RATE PER HUNDRED POUNDS FOR THE DISTANCE SHIPPED AS SHOWN IN THE COMMUTED RATE SCHEDULE * * *"

UNDER SECTION 1 OF THE ADMINISTRATIVE EXPENSES ACT OF 1946, SUPRA, AND EXECUTIVE ORDER NO. 10530 OF MAY 10, 1954, AS AMENDED, ISSUED PURSUANT THERETO, PAYMENT ON A COMMUTED BASIS IS THE ONLY AUTHORIZED METHOD OF REIMBURSING CIVILIAN EMPLOYEES FOR THE COSTS OF TRANSPORTATION OF THEIR HOUSEHOLD EFFECTS UPON TRANSFER FROM ONE PERMANENT STATION TO ANOTHER PERMANENT STATION WITHIN THE CONTINENTAL UNITED STATES. WE HAVE NO AUTHORITY TO WAIVE APPLICATION OF THE COMMUTED RATE SYSTEM AS PRESCRIBED IN THE CITED ACT AND EXECUTIVE ORDER, BUT MUST APPLY THE EXISTING PROVISIONS THEREOF IN EFFECT AT THE TIME THE TRANSPORTATION CHARGES WERE INCURRED. SEE 27 COMP. GEN. 740; 32 COMP. GEN. 286; B-147650, DECEMBER 22, 1961 (COPY ENCLOSED).

ACCORDINGLY, REIMBURSEMENT TO MR. CHAYET SHOULD BE BASED ON THE COMMUTED RATE APPLICABLE TO THE TRANSPORTATION OF HIS GOODS.