B-164270, JUNE 12, 1968, 47 COMP. GEN. 727
Highlights
OFFICERS AND EMPLOYEES - TRANSFERS - RELOCATION EXPENSES - HOUSE PURCHASE - LOAN ASSUMPTION FEE THE FEE COLLECTED FROM VETERANS UNDER 38 U.S.C. 1818 (D) BY THE VETERANS ADMINISTRATION AS A CONDITION PRECEDENT TO THE GUARANTEE OF A LOAN WHICH WAS PAID BY AN EMPLOYEE INCIDENT TO THE PURCHASE OF A HOUSE IN CONNECTION WITH A TRANSFER OF DUTY STATION MAY BE REIMBURSED TO HIM AS A FEE OR CHARGE SIMILAR TO LOAN APPLICATION OR LENDER'S LOAN ORIGINATION FEES WITHIN THE PURVIEW OF SECTION 4.2D. THE ITEM OF EXPENSE DESCRIBED IN YOUR LETTER AS A "VETERANS ADMINISTRATION FUNDING FEE" IS SHOWN BY THE CLOSING STATEMENT IN THE REAL ESTATE TRANSACTION AS BEING EQUAL TO ONE-HALF OF 1 PERCENT OF THE LOAN GUARANTEED BY THE VETERANS ADMINISTRATION.
B-164270, JUNE 12, 1968, 47 COMP. GEN. 727
OFFICERS AND EMPLOYEES - TRANSFERS - RELOCATION EXPENSES - HOUSE PURCHASE - LOAN ASSUMPTION FEE THE FEE COLLECTED FROM VETERANS UNDER 38 U.S.C. 1818 (D) BY THE VETERANS ADMINISTRATION AS A CONDITION PRECEDENT TO THE GUARANTEE OF A LOAN WHICH WAS PAID BY AN EMPLOYEE INCIDENT TO THE PURCHASE OF A HOUSE IN CONNECTION WITH A TRANSFER OF DUTY STATION MAY BE REIMBURSED TO HIM AS A FEE OR CHARGE SIMILAR TO LOAN APPLICATION OR LENDER'S LOAN ORIGINATION FEES WITHIN THE PURVIEW OF SECTION 4.2D, BUREAU OF THE BUDGET CIRCULAR NO. A- 56, REVISED OCTOBER 12, 1966.
TO JOHN W. SHARP, NATIONAL AERONAUTICS AND SPACE ADMINISTRATION, JUNE 12, 1968:
YOUR LETTER OF APRIL 23, 1968, REFERENCE AD-RFM-21B, ENCLOSING A VOUCHER FOR $150 IN FAVOR OF MR. MELVIN G. OLSEN, AN EMPLOYEE OF THE NATIONAL AERONAUTICS AND SPACE ADMINISTRATION, REQUESTS OUR DECISION WHETHER THE VOUCHER MAY BE CERTIFIED FOR PAYMENT.
THE AMOUNT OF THE VOUCHER REPRESENTS AN ITEM OF EXPENSE INCURRED BY MR. OLSEN IN THE PURCHASE OF A DWELLING HOUSE AT MERRITT ISLAND, FLORIDA, INCIDENT TO THE CHANGE OF HIS OFFICIAL STATION TO THE KENNEDY SPACE CENTER.
THE ITEM OF EXPENSE DESCRIBED IN YOUR LETTER AS A "VETERANS ADMINISTRATION FUNDING FEE" IS SHOWN BY THE CLOSING STATEMENT IN THE REAL ESTATE TRANSACTION AS BEING EQUAL TO ONE-HALF OF 1 PERCENT OF THE LOAN GUARANTEED BY THE VETERANS ADMINISTRATION.
THE FEE IS UNDERSTOOD BY US TO BE THAT REQUIRED BY 38 U.S.C. 1818 (D) WHICH MUST BE COLLECTED FROM THE VETERAN BY THE VETERANS ADMINISTRATION AS A CONDITION PRECEDENT TO THE GUARANTEE OF THE LOAN. THUS, IT MAY BE REIMBURSED TO THE EMPLOYEE AS A FEE OR CHARGE SIMILAR TO LOAN APPLICATION OR LENDER'S LOAN ORGINATION FEES WITHIN THE PURVIEW OF SECTION 4.2D, BUREAU OF THE BUDGET CIRCULAR NO. A-56, REVISED OCTOBER 12, 1966.
THE VOUCHER TRANSMITTED WITH YOUR LETTER IS RETURNED HEREWITH AND MAY BE CERTIFED FOR PAYMENT IF OTHERWISE CORRECT.