B-161860, SEP. 5, 1967

B-161860, SEP. 5, 1967

EMPLOYEES - TRANSFERS - P.L. 89-516 - SERVICE OBLIGATION DECISION TO FEDERAL HOME LOAN BANK BOARD EMPLOYEE FOR RECLAIM OF EXPENSES INCIDENT TO TRANSFER WHICH HAD BEEN DISALLOWED BECAUSE OF DEVIATION IN SERVICE OBLIGATION. EMPLOYEE WHO INCIDENT TO TRANSFER FROM MIAMI TO WASHINGTON ALTERED SERVICE AGREEMENT TO INDICATE THAT HE WOULD REMAIN IN FED. SERVICE FOR 12 MONTHS RATHER THAN IN PARTICULAR AGENCY 12 MONTHS MAY HAVE SUCH AGREEMENT REGARDED AS COMPLYING WITH P.L. 89-516 AND PAR. 2, BOB CIR. A 56. EMPLOYEE'S CLAIM FOR MISCELLANEOUS EXPENSES INCIDENT TO CHANGE OF RESIDENCE OF FAMILY FROM HIALEAH TO ORLANDO WHEN EMPLOYEE WAS TRANSFERRED FROM MIAMI TO WASHINGTON MAY NOT HAVE SUCH RESIDENCE CHANGE REGARDED AS A RESULT OF CHANGE OF STATION FOR ALLOWANCE OF EXPENSES. WITH RESPECT TO CLAIM FOR SUBSISTENCE WHILE EMPLOYEE OCCUPIED TEMPORARY QUARTERS IN WASHINGTON, CLAIM MUST BE DISALLOWED SINCE AGENCY HAS NOT AUTHORIZED THE EXPENSE.

TO MR. LYNN W. SICKLER:

WE REFER TO YOUR LETTER OF JUNE 24, 1967, IN FURTHER REFERENCE TO YOUR CLAIM FOR REIMBURSEMENT OF CERTAIN TRAVEL EXPENSES YOU INCURRED IN CONNECTION WITH YOUR TRANSFER FROM THE DEFENSE CONTRACT AUDIT AGENCY, DEPARTMENT OF DEFENSE, WITH DUTY STATION IN MIAMI, FLORIDA, TO THE FEDERAL HOME LOAN BANK BOARD, WITH DUTY STATION IN WASHINGTON, D.C., WHICH WAS EFFECTIVE SEPTEMBER 18, 1966.

YOU CLAIM SUBSISTENCE EXPENSES WHILE OCCUPYING TEMPORARY QUARTERS IN WASHINGTON AND THE MISCELLANEOUS EXPENSES ALLOWANCE AS AUTHORIZED BY SECTIONS 23 (3) AND 24, RESPECTIVELY, OF THE ADMINISTRATIVE EXPENSES ACT OF 1946, AS ADDED BY THE ACT OF JULY 21, 1966, PUB. L. 89-516, 80 STAT. 323, 324. BY SETTLEMENT OF APRIL 25, 1967, YOUR CLAIM WAS DISALLOWED BY THE CLAIMS DIVISION OF OUR OFFICE IN VIEW OF THE FACT THAT YOU HAD NOT SIGNED AN AGREEMENT TO REMAIN IN THE GOVERNMENT SERVICE FOR 12 MONTHS FOLLOWING YOUR TRANSFER AS REQUIRED BY SECTION 28 OF THE CITED ACT. YOU ENCLOSED WITH YOUR LETTER OF JUNE 24 THE AGREEMENT WHICH WAS FURNISHED YOU BY THE FEDERAL HOME LOAN BANK BOARD. YOU HAVE SIGNED THAT FORM AGREEMENT, HOWEVER, YOU ALTERED THE PROVISIONS OF THE FORM AS FURNISHED BY STRIKING THOSE PROVISIONS WHICH REFERRED TO THE REQUIREMENT THAT YOU SERVE 12 MONTHS WITH THE BOARD AND SUBSTITUTED A PROMISE TO REMAIN IN THE EMPLOY OF THE FEDERAL GOVERNMENT FOR 12 MONTHS FOLLOWING THE DATE OF YOUR TRANSFER.

PARAGRAPH 2 OF BUREAU OF THE BUDGET TRANSMITTAL MEMORANDUM NO. 6 TO CIRCULAR NO. A-56, JULY 26, 1966, PROVIDES IN PERTINENT PART:

"THE EMPLOYEE TRANSFERRING WITHIN THE CONTINENTAL UNITED STATES, EXCLUDING ALASKA, AND REPORTING FOR DUTY ON OR AFTER JULY 21, 1966, MUST SIGN AN EMPLOYMENT AGREEMENT AS SPECIFIED IN THE ACT IN ORDER TO BECOME ELIGIBLE FOR THE VARIOUS ALLOWANCES AUTHORIZED BY THESE REGULATIONS, INCLUDING THE AMENDMENTS CONTAINED HEREIN AND THOSE TO BE ISSUED. HOWEVER, THOSE REPORTING ON THAT DATE OR SHORTLY THEREAFTER MAY SIGN THE AGREEMENT AT AN APPROPRIATE LATER DATE AS PROVIDED BY THE AGENCY CONCERNED. FAILURE TO SIGN WILL MAKE THE EMPLOYEE LIABLE FOR ANY MONEYS EXPENDED BY THE GOVERNMENT ON HIS BEHALF UNDER THE REGULATIONS.'

SINCE THE FEDERAL HOME LOAN BANK BOARD DID NOT REQUIRE TRANSFERRED EMPLOYEES TO SIGN AGREEMENTS CONTAINING A PROVISION WHICH REQUIRED SERVICE WITH THAT AGENCY AT THE TIME YOUR TRANSFER WAS EFFECTIVE, YOUR AGREEMENT, WHICH COMPLIES WITH THE REQUIREMENT OF SECTION 28 OF THE ADMINISTRATIVE EXPENSES ACT OF 1946 AS ADDED BY PUB. L. 89-516, MAY BE CONSIDERED AS SUFFICIENT TO ENTITLE YOU TO THE BENEFITS PRESCRIBED BY SECTIONS 23 (3) AND 24 OF THAT LAW, IF OTHERWISE ALLOWABLE.

YOUR CLAIM FOR THE MISCELLANEOUS EXPENSES ALLOWANCE AS AN EMPLOYEE WITHOUT IMMEDIATE FAMILY IS PREDICATED UPON A CHANGE OF YOUR RESIDENCE FROM HIALEAH, FLORIDA, TO ORLANDO, FLORIDA, ALTHOUGH YOUR TRANSFER WAS FROM MIAMI TO WASHINGTON. SECTION 3.1A OF BUREAU OF THE BUDGET CIRCULAR NO. A-56, REVISED OCTOBER 12, 1966, IMPLEMENTING SECTION 24 OF THE ADMINISTRATIVE EXPENSES ACT OF 1946, PROVIDES:

"A. THE MISCELLANEOUS EXPENSES ALLOWANCE IS FOR THE PURPOSE OF DEFRAYING VARIOUS CONTINGENT COSTS ASSOCIATED WITH DISCONTINUING RESIDENCE AT ONE LOCATION AND ESTABLISHING RESIDENCE AT A NEW LOCATION IN CONNECTION WITH AN AUTHORIZED OR APPROVED PERMANENT CHANGE OF STATION.'

YOU HAVE FURNISHED NO EXPLANATION OF WHY A CHANGE IN YOUR RESIDENCE FROM HIALEAH TO ORLANDO WAS REQUIRED IN CONNECTION WITH YOUR TRANSFER TO WASHINGTON. ON THE BASIS OF THE FACTS PRESENTED IT APPEARS THAT YOUR CHANGE IN RESIDENCE WAS NOT A RESULT OF YOUR CHANGE OF OFFICIAL STATION AS CONTEMPLATED IN SECTION 3 OF CIRCULAR NO. A-56. THEREFORE, YOUR CLAIM FOR $100 MISCELLANEOUS EXPENSES ALLOWANCE MAY NOT BE ALLOWED.

REGARDING YOUR CLAIM FOR ACTUAL SUBSISTENCE WHILE OCCUPYING TEMPORARY QUARTERS IN WASHINGTON, YOUR NEW DUTY STATION, SECTION 2.5 OF CIRCULAR NO. A-56, WHICH PRESCRIBES THE REGULATIONS UNDER WHICH SUCH REIMBURSEMENT MAY BE MADE, PROVIDES THAT THE HEADS OF AGENCIES WILL PRESCRIBE POLICIES UNDER WHICH SUCH REIMBURSEMENT MAY BE ALLOWED AND THAT REIMBURSEMENT WILL NOT BE ALLOWED IF CIRCUMSTANCES WARRANT SUCH ACTION. SINCE THE FEDERAL HOME LOAN BANK BOARD HAS NOT AUTHORIZED PAYMENT FOR SUBSISTENCE WHILE OCCUPYING TEMPORARY QUARTERS IN YOUR CASE YOUR CLAIM FOR REIMBURSEMENT OF SUCH EXPENSES MAY NOT BE ALLOWED ON THE BASIS OF THE PRESENT RECORD.

FOR THE REASONS STATED THE SETTLEMENT OF OUR CLAIMS DIVISION OF APRIL 25, 1967, IS SUSTAINED.