B-163000, JAN. 17, 1968

B-163000, JAN. 17, 1968

EMPLOYEES - TRANSFERS - PUBLIC LAW 89-516 - HOME SALE/PURCHASE EXPENSES DECISION TO CERTIFYING OFFICER OF FOREST SERVICE, DEPT. OF AGRICULTURE, CONCERNING PAYMENT TO EMPLOYEE FOR COST OF MORTGAGE TITLE INSURANCE IN CONNECTION WITH PURCHASE OF RESIDENCE AT NEW DUTY STATION INCIDENT TO TRANSFER FROM COLORADO SPRINGS, COLORADO, TO DENVER, COLORADO. EMPLOYEE WHO WAS REIMBURSED FOR PREMIUM ON TITLE INSURANCE IN CONNECTION WITH SALE OF RESIDENCE AT OLD STATION AND WHO PAID PREMIUM ON POLICY OF OWNER'S TITLE INSURANCE IN CONNECTION WITH PURCHASE OF HOME AT NEW STATION IS NOT PRECLUDED FROM BEING REIMBURSED FOR COST OF MORTGAGEE'S TITLE INSURANCE FOR PURCHASE OF NEW RESIDENCE UNDER SECS. 4.2C AND D OF BOB CIRCULAR A-56 WHICH PROHIBITS PAYMENT OF SAME TYPE COSTS AT BOTH OLD AND NEW STATIONS. THEREFORE, IF IT IS ESTABLISHED CUSTOM AT NEW STATION THAT PURCHASER OF RESIDENTIAL PROPERTY PAYS COST OF MORTGAGEE'S TITLE INSURANCE THE EMPLOYEE IS ENTITLED TO REIMBURSEMENT.

TO MR. PAUL J. GRAINGER:

WE REFER TO YOUR LETTER OF NOVEMBER 28, 1967, YOUR REFERENCE 6540, REQUESTING OUR ADVANCE DECISION WHETHER YOU MAY PROPERLY CERTIFY FOR PAYMENT THE ENCLOSED TRAVEL VOUCHER OF MR. J. B. SCOTT, AN EMPLOYEE OF THE FOREST SERVICE, DEPARTMENT OF AGRICULTURE, TO REIMBURSE HIM THE COST HE INCURRED FOR MORTGAGE TITLE INSURANCE IN CONNECTION WITH HIS PURCHASE OF A RESIDENCE AT HIS NEW DUTY STATION INCIDENT TO HIS TRANSFER FROM COLORADO SPRINGS, COLORADO TO DENVER, COLORADO IN FEBRUARY 1967.

ON THE BASIS OF THE INFORMATION PRESENTED WITH YOUR LETTER IT APPEARS THAT MR. SCOTT SOLD HIS RESIDENCE IN COLORADO SPRINGS ON MAY 31, 1967 AND THAT THE ONLY COST HE INCURRED IN CONNECTION WITH THAT SALE WAS FOR OWNER'S TITLE INSURANCE. HE HAS BEEN REIMBURSED THE $96 HE PAID AS PREMIUM ON THAT INSURANCE. THE FILE DOES NOT AFFIRMATIVELY SHOW THAT THE PROPERTY SOLD BY MR. SCOTT IN COLORADO SPRINGS WAS HIS RESIDENCE AT THE TIME OF HIS TRANSFER OR THAT IT IS THE CUSTOM IN THAT LOCALITY FOR THE SELLER OF RESIDENTIAL PROPERTY TO PAY THE COST OF OWNER'S TITLE INSURANCE ON PROPERTY SOLD. HOWEVER, ASSUMING THAT BOTH OF THOSE REQUIREMENTS HAVE BEEN MET REIMBURSEMENT OF THE COST OF OWNER'S TITLE INSURANCE WAS PROPER. SEE B-161459, JUNE 27, 1967, 46 COMP. GEN. -----, COPY ENCLOSED.

THE VOUCHER SUBMITTED FOR OUR CONSIDERATION IS TO REIMBURSE MR. SCOTT $15 WHICH HE PAID FOR MORTGAGEE'S TITLE INSURANCE ON THE RESIDENCE HE PURCHASED IN DENVER. WE NOTE THAT MR. SCOTT ALSO PAID $81.50 AS THE PREMIUM ON A POLICY OF OWNER'S TITLE INSURANCE IN CONNECTION WITH HIS PURCHASE OF THE RESIDENCE IN DENVER BUT THAT HE HAS NOT CLAIMED REIMBURSEMENT FOR THAT ITEM OF EXPENSE. WE DO NOT CONSIDER THAT REIMBURSEMENT OF THE COST OF OWNER'S TITLE INSURANCE PURCHASED BY DUTY STATION PRECLUDES REIMBURSEMENT OF THE COST OF MORTGAGEE'S TITLE INSURANCE IN CONNECTION WITH THE PURCHASE OF A RESIDENCE AT THE NEWDUTY STATION UNDER THE PROVISIONS OF SECTIONS 4.2C AND D OF BUREAU OF THE BUDGET CIRCULAR NO. A-56 WHICH PROHIBIT PAYMENT OF THE SAME TYPES OF COSTS AT BOTH THE OLD AND THE NEW DUTY STATIONS. THEREFORE, IF IT IS ESTABLISHED THAT THE CUSTOM IN DENVER IS THAT THE PURCHASER OF RESIDENTIAL PROPERTY PAYS THE COST OF MORTGAGEE'S TITLE INSURANCE THE VOUCHER MAY BE CERTIFIED FOR PAYMENT.

THE VOUCHER WHICH IS RETURNED HEREWITH TOGETHER WITH SUPPORTING PAPERS MAY BE CERTIFIED FOR PAYMENT IF OTHERWISE CORRECT.