[Request for Decision on Payment of Relocation Expenses for USDA Employees]

The Department of Agriculture (USDA) requested a decision on whether a former employee broke a service agreement by securing employment with a mixed-ownership government corporation. GAO noted that the employee: (1) was reimbursed for relocation expenses for a new assignment with USDA; (2) was legally bound by a service agreement to provide 1 year of government service; and (3) accepted employment with the Federal Deposit Insurance Corporation (FDIC) before her 1 year of service at USDA was completed. GAO held that, although FDIC was not covered by relocation statutes, employment with FDIC was government service. Accordingly, the employee did not violate her service agreement.