B-3996, JUNE 19, 1939, 18 COMP. GEN. 937

B-3996: Jun 19, 1939

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MAY BE CONSIDERED AS APPLICABLE TO LEASED WIRE SERVICES INSOFAR AS TRANSMISSION OF VOCAL MESSAGES ARE INVOLVED. 1939: I HAVE YOUR LETTER OF MAY 26. AS FOLLOWS: THIS IS AN INQUIRY CONCERNING PUBLIC. THE EFFECT OF THE NEW ACT IS TO ELIMINATE A GREAT DEAL OF CLERICAL WORK IN CONNECTION WITH FISCAL YEAR ACCOUNTING FOR TELEPHONE SERVICES. THE INQUIRY IS. IN MAKING PAYMENTS FOR COMMODITIES OR SERVICES THE QUANTITY OF WHICH IS DETERMINED BY METERED READINGS. THE ONLY CHANGE MADE BY THE AMENDMENT WAS THE INSERTION OF THE WORDS "AND FOR TELEPHONE SERVICES.'. IF LEASED WIRES ARE USED FOR THE TRANSMISSION OF VOCAL MESSAGES PAYMENT THEREFOR WOULD BE CONSIDERED AS PAYMENT FOR TELEPHONE SERVICES AND MAY BE MADE IN ACCORDANCE WITH THE ABOVE ACT.

B-3996, JUNE 19, 1939, 18 COMP. GEN. 937

APPROPRIATIONS - FISCAL YEAR - AVAILABILITY FOR PRIOR YEAR METERED SERVICES - STATUTORY APPLICABILITY TO LEASED WIRE TELEPHONE AND TELETYPE SERVICE THE STATUTORY AUTHORITY IN THE ACT OF APRIL 27, 1937, AS AMENDED BY THE ACT OF APRIL 26, 1939, 53 STAT. 624, FOR THE CHARGING OF THE ENTIRE AMOUNT OF THE PAYMENTS FOR METERED COMMODITIES OR SERVICES--- "SUCH AS GAS, ELECTRICITY, WATER, STREAM, AND THE LIKE, AND FOR TELEPHONE SERVICES"--- WHERE THE PERIOD COVERED BY THE CHARGE BEGINS IN ONE FISCAL YEAR AND ENDS IN ANOTHER, TO THE APPROPRIATION OR ALLOTMENT CURRENT AT THE END OF SUCH PERIOD, MAY BE CONSIDERED AS APPLICABLE TO LEASED WIRE SERVICES INSOFAR AS TRANSMISSION OF VOCAL MESSAGES ARE INVOLVED, BUT, TELETYPE SERVICES NOT GENERALLY BEING CONSIDERED TELEPHONE SERVICE, PAYMENTS FOR SUCH SERVICES MAY NOT BE MADE IN THE MANNER PROVIDED IN THE SAID ACTS.

ACTING COMPTROLLER GENERAL ELLIOTT TO THE POSTMASTER GENERAL, JUNE 19, 1939:

I HAVE YOUR LETTER OF MAY 26, 1939, AS FOLLOWS:

THIS IS AN INQUIRY CONCERNING PUBLIC, NO. 59, AMENDING THE ACT OF APRIL 27, 1937, ENTITLED,"AN ACT TO SIMPLIFY ACCOUNTING.'

THE EFFECT OF THE NEW ACT IS TO ELIMINATE A GREAT DEAL OF CLERICAL WORK IN CONNECTION WITH FISCAL YEAR ACCOUNTING FOR TELEPHONE SERVICES. THE INQUIRY IS--- CAN THAT ACT BE VIEWED SO AS TO INCLUDE LEASED WIRES AND THE TELETYPE SERVICE, THE LATTER BEING PARTLY LEASED AND PARTLY ON A MESSAGE BASIS.

THE ACT OF APRIL 27, 1937, 50 STAT. 119, AS AMENDED BY THE ACT OF APRIL 26, 1939, PUBLIC, NO. 59, 53 STAT. 624, PROVIDES:

HEREAFTER, IN MAKING PAYMENTS FOR COMMODITIES OR SERVICES THE QUANTITY OF WHICH IS DETERMINED BY METERED READINGS, SUCH AS GAS, ELECTRICITY, WATER, STEAM, AND THE LIKE, AND FOR TELEPHONE SERVICES, WHERE THE PERIOD COVERED BY THE CHARGE BEGINS IN ONE FISCAL YEAR OR ALLOTMENT PERIOD AND ENDS IN ANOTHER, THE ENTIRE AMOUNT OF THE PAYMENT MAY BE REGARDED AS A CHARGE AGAINST THE APPROPRIATION OR ALLOTMENT CURRENT AT THE END OF SUCH PERIOD.

THE ONLY CHANGE MADE BY THE AMENDMENT WAS THE INSERTION OF THE WORDS "AND FOR TELEPHONE SERVICES.' IF LEASED WIRES ARE USED FOR THE TRANSMISSION OF VOCAL MESSAGES PAYMENT THEREFOR WOULD BE CONSIDERED AS PAYMENT FOR TELEPHONE SERVICES AND MAY BE MADE IN ACCORDANCE WITH THE ABOVE ACT. TELETYPE SERVICE, HOWEVER, IS NOT GENERALLY CONSIDERED TELEPHONE SERVICE NOTWITHSTANDING THAT TELEPHONE COMPANY WIRES MAY BE USED FOR THE TRANSMISSION. IT MUST BE HELD, THEREFORE, THAT THE ABOVE ACT OF APRIL 26, 1939, IS NOT APPLICABLE TO TELETYPE SERVICE.