Claim for Temporary Quarters Subsistence Expenses

A decision was requested as to whether an employee's claim for temporary quarters subsistence expenses, incurred while renting a house which he had contracted to purchase, could be certified for payment. The employee had been authorized a relocation allowance which included 30 days of temporary quarters and a househunting trip. The employee claimed that, although expenses for temporary quarters which eventually become permanent are generally not reimbursable, his situation warranted payment because he saved the Government money by not incurring househunting expenses and temporary storage costs. GAO has consistently held that the determination of the type of residence occupied is based on the intent of the employee at the time he moves into the quarters. When an employee moves into a house he has decided to purchase, even though final settlement for the house has not yet taken place, he has ceased to occupy temporary quarters. Even though the occupancy results in a savings to the Government, the employee is not entitled to be reimbursed for the expenses incurred. Accordingly, the claim may not be certified for payment.