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B-9221, MARCH 30, 1940, 19 COMP. GEN. 838

B-9221 Mar 30, 1940
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1940: I HAVE YOUR LETTER OF MARCH 20. SAID FUNDS ARE AVAILABLE FOR EXPENDITURE IN ACCORDANCE WITH THE TERMS OF THE DISTRICT OF COLUMBIA ALLEY DWELLING ACT. A NUMBER OF THE STATE HOUSING AUTHORITIES HAVE UTILIZED THIS METHOD TO BECOME MEMBERS OF THAT ASSOCIATION. THE ALLEY DWELLING AUTHORITY IS DESIROUS OF AFFILIATING AS A MEMBER OF THAT ASSOCIATION PROVIDED IT MAY LAWFULLY USE THE BORROWED MONEY FOR THIS PURPOSE. AS IT IS FELT THAT SECTION 83. THE AUTHORITY OF THE ALLEY DWELLING AUTHORITY FOR THE DISTRICT OF COLUMBIA TO BORROW MONEY FROM THE UNITED STATES HOUSING AUTHORITY AND THE PURPOSES FOR WHICH IT LAWFULLY MAY BE USED ARE PROVIDED IN SECTION 203 OF THE ACT OF JUNE 25. THE AUTHORITY IS EMPOWERED TO BORROW MONEY OR ACCEPT CONTRIBUTIONS.

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B-9221, MARCH 30, 1940, 19 COMP. GEN. 838

DUES FOR MEMBERSHIP OF GOVERNMENT AGENCIES IN ASSOCIATIONS, ETC. THE PROHIBITION IN SECTION 8 OF THE ACT OF JUNE 26, 1912, 37 STAT. 184, AGAINST THE USE OF APPROPRIATED MONEYS FOR PAYMENT OF MEMBERSHIP FEES OR DUES OF ANY OFFICER OR EMPLOYEE OF THE UNITED STATES OR OF THE DISTRICT OF COLUMBIA IN ANY SOCIETY OR ASSOCIATION IN THE ABSENCE OF SPECIFIC AUTHORIZATION, EXCLUDES THE USE OF APPROPRIATED MONEYS FOR THE PAYMENT FOR SUCH MEMBERSHIP OF A GOVERNMENT AGENCY. FUNDS BORROWED BY THE ALLEY DWELLING AUTHORITY FOR THE DISTRICT OF COLUMBIA FROM THE UNITED STATES HOUSING AUTHORITY UNDER AUTHORITY OF SECTION 203 OF THE ACT OF JUNE 25, 1938, 52 STAT. 1188, MAY NOT BE USED BY THE FORMER FOR PAYMENT OF DUES FOR MEMBERSHIP IN ANY ORGANIZATION OR ASSOCIATION.

ACTING COMPTROLLER GENERAL ELLIOTT TO THE CHAIRMAN, ALLEY DWELLING AUTHORITY FOR THE DISTRICT OF COLUMBIA, MARCH 30, 1940:

I HAVE YOUR LETTER OF MARCH 20, 1940, AS FOLLOWS:

THE ALLEY DWELLING AUTHORITY, CREATED PURSUANT TO THE DISTRICT OF COLUMBIA ALLEY DWELLING ACT ( PUBLIC, NO. 307, 73D CONGRESS,APPROVED JUNE 12, 1934), UNDER AND BY VIRTUE OF THE AUTHORITY OF TITLE II, PUBLIC, NO. 733, 75TH CONGRESS, AS A PUBLIC HOUSING AGENCY, HAS ENTERED INTO FOUR LOAN CONTRACTS WITH THE UNITED STATES HOUSING AUTHORITY UNDER WHICH THE UNITED STATES HOUSING AUTHORITY HAS AGREED TO LOAN TO THE ALLEY DWELLING AUTHORITY NINETY PERCENT OF THE COST OF NINE LOW-RENT HOUSING DEVELOPMENTS IN THE DISTRICT OF COLUMBIA. SAID FUNDS ARE AVAILABLE FOR EXPENDITURE IN ACCORDANCE WITH THE TERMS OF THE DISTRICT OF COLUMBIA ALLEY DWELLING ACT, AS AMENDED, THE REQUIREMENTS OF THE UNITED STATES HOUSING ACT OF 1937, AND THE RULES AND REGULATIONS ISSUED BY THE ADMINISTRATOR OF THE UNITED STATES HOUSING AUTHORITY.

RECENTLY THE ADMINISTRATOR OF THE UNITED STATES HOUSING AUTHORITY, IN A GENERAL RULING TO ALL LOW-RENT HOUSING AGENCIES THROUGHOUT THE COUNTRY, RULED THAT HE DID NOT OBJECT TO PART OF THE LOANED FUNDS BEING USED FOR PAYMENT OF DUES BY THE LOCAL AUTHORITY IN ORDER TO OBTAIN MEMBERSHIP IN THE NATIONAL ASSOCIATION OF HOUSING OFFICIALS. A NUMBER OF THE STATE HOUSING AUTHORITIES HAVE UTILIZED THIS METHOD TO BECOME MEMBERS OF THAT ASSOCIATION. THE ALLEY DWELLING AUTHORITY IS DESIROUS OF AFFILIATING AS A MEMBER OF THAT ASSOCIATION PROVIDED IT MAY LAWFULLY USE THE BORROWED MONEY FOR THIS PURPOSE. WE KNOW OF NO RESTRICTIONS PROHIBITING THE USE OF A PORTION OF THIS MONEY FOR THE PAYMENT OF MEMBERSHIP DUES IN SOCIETIES AND ASSOCIATIONS, AS IT IS FELT THAT SECTION 83, TITLE 5 OF THE CODE OF LAWS OF THE UNITED STATES OF AMERICA RESPECTING " RESTRICTIONS ON PAYING FEES OR DUES IN SOCIETIES" DOES NOT APPLY TO THESE BORROWED FUNDS.

THIS OFFICE RESPECTFULLY REQUESTS YOUR ADVICE, BASED ON THE FACTS HEREIN STATED, AS TO WHETHER OR NOT A REASONABLE PORTION OF THE BORROWED MONEYS MAY NOT BE USED FOR THE PAYMENT OF DUES IN THE NATIONAL ASSOCIATION OF HOUSING OFFICIALS.

SECTION 8 OF THE ACT OF JUNE 26, 1912, 37 STAT. 184, 5 U.S.C. 83, CITED IN YOUR LETTER, PROHIBITS THE USE OF APPROPRIATED MONEYS FOR, AMONG OTHER THINGS, PAYMENT OF MEMBERSHIP FEES OR DUES OF ANY OFFICER OR EMPLOYEE OF THE UNITED STATES OR OF THE DISTRICT OF COLUMBIA IN ANY SOCIETY OR ASSOCIATION UNLESS AUTHORIZED BY SPECIFIC APPROPRIATION FOR THE PURPOSE OR BY EXPRESS TERMS IN SOME GENERAL APPROPRIATION. AND THIS PROHIBITION HAS BEEN HELD TO EXCLUDE THE USE OF APPROPRIATED MONEYS FOR THE PAYMENT OF SUCH MEMBERSHIP OF A GOVERNMENT AGENCY. SEE 24 COMP. DEC. 473; 5 COMP. GEN. 645.

FURTHERMORE, THE AUTHORITY OF THE ALLEY DWELLING AUTHORITY FOR THE DISTRICT OF COLUMBIA TO BORROW MONEY FROM THE UNITED STATES HOUSING AUTHORITY AND THE PURPOSES FOR WHICH IT LAWFULLY MAY BE USED ARE PROVIDED IN SECTION 203 OF THE ACT OF JUNE 25, 1938, 52 STAT. 1188, WHICH READS:

FOR THE PURPOSES OF THIS TITLE THE AUTHORITY SHALL BE CONSIDERED A PUBLIC HOUSING AGENCY WITHIN THE MEANING OF, AND TO CARRY OUT THE PURPOSES OF, THE UNITED STATES HOUSING ACT OF 1937; AND AS SUCH, THE AUTHORITY IS EMPOWERED TO BORROW MONEY OR ACCEPT CONTRIBUTIONS, GRANTS, OR OTHER FINANCIAL ASSISTANCE FROM THE UNITED STATES HOUSING AUTHORITY FOR OR IN AID OF ANY HOUSING PROJECT IN THE DISTRICT OF COLUMBIA, IN ACCORDANCE WITH THE UNITED STATES HOUSING ACT OF 1937, * * * OBVIOUSLY, SUCH FUNDS WHEN LAWFULLY BORROWED MAY BE USED ONLY FOR THE PURPOSES SPECIFIED IN THE ACT, WHICH CONTAINS NO AUTHORITY, EXPRESS OR IMPLIED, TO USE THEM FOR THE PAYMENT OF MEMBERSHIP DUES OF THE ALLEY DWELLING AUTHORITY FOR THE DISTRICT OF COLUMBIA IN ANY ORGANIZATION OR ASSOCIATION.

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