[Query Concerning Reimbursement of Real Estate Expenses]

The National Oceanic and Atmospheric Administration (NOAA) requested a decision concerning the entitlement of one of its employees to reimbursement for real estate expenses. Subsequent to acceptance of a 2-year temporary assignment, the employee sold his old residence and purchased a new residence in the area of the assignment. After the temporary assignment was completed, he accepted a permanent transfer to a NOAA office in the new area and was authorized reimbursement for travel, per diem, and transportation of household goods, but denied reimbursement for real estate expenses. He appealed the decision, contending that the reimbursement was authorized. GAO has held that: (1) real estate expenses incurred prior to any expression of government intent to transfer an employee can not be reimbursed; and (2) an employee may be reimbursed for relocation expenses incurred prior to a transfer of official duty station if the travel order subsequently issued to the employee includes authorization for the expenses on the basis of a previously existing administrative intention clearly evident at the time the employee incurred the expenses. GAO found that there was no clear evidence of administrative intent to transfer the employee at the time of the settlement of his old residence or at the time of settlement of his new residence. Accordingly, the claim was denied.