B-177395, MAR 27, 1973

B-177395: Mar 27, 1973

Additional Materials:

Contact:

Edda Emmanuelli Perez
(202) 512-2853
EmmanuelliPerezE@gao.gov

 

Office of Public Affairs
(202) 512-4800
youngc1@gao.gov

SINCE THE PAYMENT OF FEES TO OBTAIN HOUSING IN THE NEW YORK CITY AREA IS AN ESTABLISHED PRACTICE. THE AMOUNT OF THE FEES PAID INDICATES THAT THEY ARE IN EXCESS OF THE FLAT ALLOWANCES PROVIDED FOR IN SECTION 3.3A OF OMB CIRCULAR NO. ANY ADDITIONAL ALLOWANCES ARE FOR DETERMINATION UNDER THE PROVISIONS OF SECTION 3.3B OF OMB CIRCULAR NO. BLEDSOE: FURTHER REFERENCE IS MADE TO YOUR UNDATED LETTER REQUESTING OUR DECISION AS TO WHETHER YOU MAY CERTIFY FOR PAYMENT FIVE VOUCHERS WHEREON MR. IT WAS HELD THAT A CUSTOMARY RENTAL FEE PAID BY AN EMPLOYEE IN ORDER TO SECURE HOUSING IN FOREIGN COUNTRIES MAY BE REIMBURSED AS A PART OF THE MISCELLANEOUS EXPENSES ALLOWANCE PROVIDED FOR BY SECTION 3. WE HAVE BEEN INFORMALLY ADVISED BY AN OFFICIAL OF THE NEW YORK OFFICE OF THE DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT THAT IT IS A PRACTICE IN THE NEW YORK AREA TO CHARGE A BROKER'S FEE TO OBTAIN HOUSING.

B-177395, MAR 27, 1973

CIVILIAN EMPLOYEE - FEES TO OBTAIN HOUSING - CUSTOMARY IN THE AREA DECISION ALLOWING THE CLAIM OF ROBERT A. DINIUS AND FOUR OTHER EMPLOYEES OF THE BUREAU OF NARCOTICS AND DANGEROUS DRUGS FOR REIMBURSEMENT FOR FEES PAID TO REALTY COMPANIES TO LOCATE SUITABLE HOUSING IN THE NEW YORK CITY AREA INCIDENT TO THEIR TRANSFERS. SINCE THE PAYMENT OF FEES TO OBTAIN HOUSING IN THE NEW YORK CITY AREA IS AN ESTABLISHED PRACTICE, SUCH FEES MAY BE REIMBURSED AS A PART OF THE MISCELLANEOUS EXPENSES ALLOWANCE. THE AMOUNT OF THE FEES PAID INDICATES THAT THEY ARE IN EXCESS OF THE FLAT ALLOWANCES PROVIDED FOR IN SECTION 3.3A OF OMB CIRCULAR NO. A-56. ACCORDINGLY, ANY ADDITIONAL ALLOWANCES ARE FOR DETERMINATION UNDER THE PROVISIONS OF SECTION 3.3B OF OMB CIRCULAR NO. A-56.

TO MRS. JUNET M. BLEDSOE:

FURTHER REFERENCE IS MADE TO YOUR UNDATED LETTER REQUESTING OUR DECISION AS TO WHETHER YOU MAY CERTIFY FOR PAYMENT FIVE VOUCHERS WHEREON MR. ROBERT A. DINIUS AND FOUR OTHER EMPLOYEES OF YOUR AGENCY CLAIM REIMBURSEMENT FOR FEES PAID TO REALTY COMPANIES TO LOCATE SUITABLE HOUSING IN THE NEW YORK CITY AREA INCIDENT TO THEIR TRANSFERS.

THE RECORD INDICATES THAT THE EMPLOYEES, WHO TRANSFERRED TO NEW YORK, NEW YORK, FROM VARIOUS LOCATIONS, ATTEMPTED UNSUCCESSFULLY TO OBTAIN SUITABLE HOUSING BY CONSULTING NEWSPAPER ADS, VISITING VARIOUS LANDLORDS, ETC. ACCORDINGLY, THEY PAID REALTY COMPANIES FEES TO OBTAIN SUITABLE HOUSING. THEY CLAIM REIMBURSEMENT FOR THE AMOUNT OF THE FEES PAID.

IN B-169335, MAY 22, 1970, IT WAS HELD THAT A CUSTOMARY RENTAL FEE PAID BY AN EMPLOYEE IN ORDER TO SECURE HOUSING IN FOREIGN COUNTRIES MAY BE REIMBURSED AS A PART OF THE MISCELLANEOUS EXPENSES ALLOWANCE PROVIDED FOR BY SECTION 3, OFFICE OF MANAGEMENT AND BUDGET CIRCULAR NO. A-56. WE HAVE BEEN INFORMALLY ADVISED BY AN OFFICIAL OF THE NEW YORK OFFICE OF THE DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT THAT IT IS A PRACTICE IN THE NEW YORK AREA TO CHARGE A BROKER'S FEE TO OBTAIN HOUSING. THE FEE IS SUBJECT TO NEGOTIATION AND RANGES BETWEEN 1 AND 2 MONTHS' RENT. SINCE THE PAYMENT OF FEES TO OBTAIN HOUSING IN THE NEW YORK CITY AREA IS AN ESTABLISHED PRACTICE, SUCH FEES MAY BE REIMBURSED AS A PART OF THE MISCELLANEOUS EXPENSES ALLOWANCE. THE AMOUNT OF THE FEES PAID INDICATES THAT THEY ARE IN EXCESS OF THE FLAT ALLOWANCES PROVIDED FOR IN SECTION 3.3A OF CIRCULAR NO. A-56. ACCORDINGLY, ANY ADDITIONAL ALLOWANCES ARE FOR DETERMINATION UNDER THE PROVISIONS OF SECTION 3.3B OF CIRCULAR NO. A-56.

THE FOUR VOUCHERS AND COPY OF THE CLAIM OF IHOR W. NOWOZENIUK, FORWARDED BY YOU, ARE RETURNED HEREWITH FOR HANDLING IN ACCORDANCE WITH THE ABOVE.