Determination of What Kinds of Transactions Are Authorized by Section 22 of the International Security Assistance Act

The Mutual Security Act of 1954, section 502(b), did not authorize the Department of the Treasury to purchase foreign currency with dollars to finance Congressional travel in instances where no foreign currency of a particular country is owned by the United States. An amendment was enacted under section 22 of the International Security Assistance Act of 1978 to provide that "the Secretary of the Treasury shall purchase such local currencies as may be necessary" to finance Congressional travel. The Department of State requested clarification as to whether travelers who spend their own money for expenses of authorized official travel, particularly for trip expenses which must be paid in advance, may be reimbursed from appropriation accounts administered by the Department of State. Since it appears that there would be little practical benefit for funds to be used by the Treasury to purchase foreign currencies which the traveler would presumably convert to United States currency, GAO believes that reimbursement may properly be made for dollar expenditures directly connected with Congressional travel.