February 9, 2015 

MEMORANDUM TO: Chairman Burns COMSECY-15-0005

 Commissioner Svinicki 

 Commissioner Ostendorff 

 Commissioner Baran 

FROM: Maureen E. Wylie /RA/

 Chief Financial Officer 

SUBJECT: PROGRESS REPORT ON REVISIONS TO THE U.S. NUCLEAR 

REGULATORY COMMISSION RELOCATION POLICY 

In the February 16, 2005, staff requirements memorandum, Proposed Revision to the 

U.S. Nuclear Regulatory Commission (NRC) Relocation Policy (SECY-05-0019), the 

Commission approved changes to the NRC Relocation Policy and requested that the Office of 

the Chief Financial Officer track costs, as well as cost savings, with periodic updates to the 

Commission. 

On January 19, 2005, in SECY-05-0019, results of the staff’s examination of ways to reduce 

relocation costs were provided to the Commission. We described actions to reinforce the 

existing policy and recommended a policy change on the use of the Home Sale Program. The 

following five actions were recommended to reinforce existing relocation policy: (1) reduce 

waivers for the Home Sale Program, (2) provide 120 days advance notice of relocation, 

(3) decide when to use relocation as a recruitment incentive, (4) limit temporary quarters 

extensions, and (5) assign new hires to a permanent duty station when applicable. The 

recommended policy change was to limit the Home Sale Program to NRC employees only. 

Employees transferring from another government agency would not be eligible, unless granted 

a waiver from the NRC office director or regional administrator. 

These changes were implemented on March 31, 2005. I am providing the tenth progress report 

on the NRC’s relocation policy changes. This report is for the period covering October 1, 2013, 

through September 30, 2014. In light of the stability in the program, I recommend that this 

report be discontinued in the future. 

SECY, please track. 

Enclosure: 

Progress Report 

cc: EDO 

 SECY 

 OGC 

 OPA 

 OCA 

CONTACT: John R. Walker, OCFO/DOC/TOB 

 (301) 415-7575 
 

February 9, 2015 

MEMORANDUM TO: Chairman Burns 

 Commissioner Svinicki 

 Commissioner Ostendorff 

 Commissioner Baran 

FROM: Maureen E. Wylie /RA/

 Chief Financial Officer 

SUBJECT: PROGRESS REPORT ON REVISIONS TO THE U.S. NUCLEAR 

REGULATORY COMMISSION RELOCATION POLICY 

In the February 16, 2005, staff requirements memorandum, Proposed Revision to the 

U.S. Nuclear Regulatory Commission (NRC) Relocation Policy (SECY-05-0019), the 

Commission approved changes to the NRC Relocation Policy and requested that the Office of 

the Chief Financial Officer track costs, as well as cost savings, with periodic updates to the 

Commission. 

On January 19, 2005, in SECY-05-0019, results of the staff’s examination of ways to reduce 

relocation costs were provided to the Commission. We described actions to reinforce the 

existing policy and recommended a policy change on the use of the Home Sale Program. The 

following five actions were recommended to reinforce existing relocation policy: (1) reduce 

waivers for the Home Sale Program, (2) provide 120 days advance notice of relocation, 

(3) decide when to use relocation as a recruitment incentive, (4) limit temporary quarters 

extensions, and (5) assign new hires to a permanent duty station when applicable. The 

recommended policy change was to limit the Home Sale Program to NRC employees only. 

Employees transferring from another government agency would not be eligible, unless granted 

a waiver from the NRC office director or regional administrator. 

These changes were implemented on March 31, 2005. I am providing the tenth progress report 

on the NRC’s relocation policy changes. This report is for the period covering October 1, 2013, 

through September 30, 2014. In light of the stability in the program, I recommend that this 

report be discontinued in the future. 

SECY, please track. 

Enclosure: 

Progress Report 

cc: EDO 

 SECY 

 OGC 

 OPA 

 OCA 

CONTACT: John R. Walker, OCFO/DOC/TOB 

 (301) 415-7575 

Closes ticket DOC-2014-0026

ADAMS:  Yes  No Initials: ______ SUNSI Review By: _______ 

 Publicly Available  Non-Publicly Available  Sensitive  Non-Sensitive 

ML15012A102 

OFFICE OCFO/DOC/TOB OCFO/DOC/TOB OCFO/DDOC OCFO/DOC DCFO CFO 

NAME JRWalker/bb LCrawford GPeterson BGusack MMuessle MEWylie 

DATE 1/6/15 1/6/15 1/8/15 1/9/15 1/12/15 2/9/15 
PROGRESS REPORT

The following provides an update on the six actions to reduce relocation costs. 

The “Home Sale Program” (Attachment 1) and “Change of Station Program” (Attachment 2), 

provide a summary of the costs for each of these programs in fiscal years (FY) 2004 through 

2014. 

1. Waivers for the Home Sale Program

The home sale program is a service employees can use to sell their house instead of 

using a real estate agent. The fee charged by the relocation company varies depending 

on the type of sale. There are two main types of fees. First, is the appraised value sale, 

where the employee sells the house directly to the contractor based on two independent 

appraisals. This fee is currently 25.95% of the selling price. The second fee is an 

amended value sale, which is based on the employee working with a realtor to find an 

outside buyer and the sale is handled by the relocation contractor. NRC pays a fee of 

11.25% to the contractor for an amended value sale. Therefore, it is in the agency’s 

best interest to encourage employees to find an outside buyer and use the amended 

value process to sell their homes. To increase the number of amended value sales 

employees must first market their home with an outside realtor for 60 days before they 

can enter the home sale program. Prior to March 31, 2005, 23 percent of home sale 

participants were approved to waive the requirement to market a home for 60 days prior 

to entering the home sale program. This led to higher costs for the home sale program 

because many of the waivers resulted in appraised value sales. To control costs, 

waivers to the 60-day marketing period have been discouraged unless the employee can 

demonstrate an urgent need to enter the home sale program. 

The chart below shows the number of waivers granted each fiscal year and the 

percentage of amended value sales. There were no waivers requested in FY 2014. 

 FY 05 FY 06 FY 07 FY 08 FY 09 FY 10 FY 11 FY 12 FY 13 FY14 

Number of 60 

Day Waivers 3 0 1 0 1 0 0 0 0 0

Amended Value 

Sales 66% 42% 33% 43% 38% 25% 13% 22% 33% 38%

2. 120 Day Advance Notice of Relocation

The General Services Administration (GSA) reports that the best way to reduce costs for 

employee relocations is for agencies to provide sufficient lead time. Measuring the actual 

cost savings as a result of this effort continues to be difficult because of the many 

variables that impact relocation costs. For example, the differences in the price of an 

employee’s home, the weight of household goods being shipped, or the size of an 

employee’s family all impact relocation costs. 

 Enclosure 

 
-2- 

The chart below shows the number of waivers granted each fiscal year. 

 FY 05 FY 06 FY 07 FY 08 FY 09 FY 10 FY 11 FY 12 FY 13 FY 14

Number of 

waivers 12 25 3 24 13 11 19 20 26 12

Total Number 

of Transfers 71 78 111 109 53 52 74 46 71 83

Waiver 

Percentage 17% 32% 3% 22% 25% 21% 26% 43% 36% 14%

3. Relocation Benefits as a Recruitment Incentive

 Prior to March 31, 2005, most job vacancy announcements were silent on whether or not 

relocation benefits were associated with the position. When the vacancy announcement 

is silent on whether or not relocation benefits are associated with the position, all moves 

are eligible for relocation benefits. Beginning February 2005, the Office of Human 

Resources (now the Office of the Chief Human Capital Officer) specifically states on 

each vacancy announcement whether or not relocation benefits are associated with the 

position. 

There is no data to present. 

4. Temporary Quarters Extensions

Extensions for temporary quarters should only be granted when compelling reasons 

warrant. According to GSA, a compelling reason is an event that is beyond the 

employee’s control and is acceptable to the agency. Examples include delayed delivery 

of household goods due to natural disasters, unanticipated delay in settlement on the 

new residence, inadequate housing available in the new duty station area, and sudden 

illness, injury, or death in the immediate family. Staff review of requests for extension of 

temporary quarters concluded that each approval was based on a compelling reason. 

The chart below shows the number of temporary quarters extensions granted each fiscal 

year. There were 9 extension requests approved in FY 2014. 

 FY 05 FY 06 FY 07 FY 08 FY 09 FY 10 FY 11 FY 12 FY 13 FY 14

Extensions 6 15 16 24 14 8 7 9 18 9

Total TQ 71 59 83 82 42 32 43 40 55 48

Percentage 8% 25% 19% 29% 33% 25% 16% 23% 32% 19%

5. New Hires to Permanent Duty Station

Employees who are new to the Federal government receive limited relocation benefits 

and their average cost per move is substantially less than a transferring employee. 

Between FY 2002 and FY 2004, 22 new hires had relocated to another position within 

16 months of being initially hired by the NRC. The additional cost for the subsequent 

moves is estimated to be over $650,000. 

 
-3- 

The chart below shows the number of newly hired employees who were transferred to a 

new duty station within a 12-month period. There were no instances of this occurring in 

FY 2014. 

 FY 05 FY 06 FY 07 FY 08 FY 09 FY 10 FY 11 FY 12 FY 13 FY14

Number 0 0 0 2 3 0 0 0 1 0

Additional 

Cost $130,000 $172,000

 

$72,000

6. Home Sale Program for NRC Employees

To reduce the overall cost of the home sale program, only NRC employees may 

participate in the home sale program. An employee transferring from other Government 

agencies may only participate in the home sale program if granted a waiver by their 

office director or regional administrator. 

 FY 05 FY 06 FY 07 FY 08 FY 09 FY 10 FY 11 FY 12 FY 13 FY 14

Non-NRC 

transfers 0 2 4 4 0 0 0 0 0 0

Total Home 

Sale 

Participants 32 34 51 53 16 20 15 14 12 8

The real estate market has been improving in many areas during the past year. This 

has allowed several employees to sell their homes without the assistance of the home 

sale contractor. As a result, there have been fewer referrals to the home sale contractor. 

We will continue to implement the measures that were put into place on March 31, 2005, 

and recognize that hiring and relocating well qualified staff to support the agency’s 

mission is our first priority. 
RELOCATION HOME SALE PROGRAM

Fiscal 

Year 

Total Costs Number of 

Participants 

Percentage of 

Amended Value 

Sales 

FY 2004 $1.6M 35 34% 

FY 2005 $1.35M 32 66% 

FY 2006 $1.7M 34 42% 

FY 2007 $2.5M 51 33% 

FY 2008 $3.1M 53 43% 

FY 2009 $1.8M 16 38% 

FY 2010 $2.0M 20 25% 

FY 2011 $0.9M 15 13% 

FY 2012 $1.1M 14 22% 

FY 2013 $1.2M 12 33% 

FY 2014 $0.4M 8 38% 

Definitions: 

Relocation Home Sale Program - This program serves as a safety net for U.S. Nuclear 

Regulatory Commission (NRC) employees who are having difficulty selling their home to an 

outside buyer. The NRC requires employees to actively market their homes for 60 days 

before entering the program. 

Amended Value - The lower cost alternative for the NRC, based on a seller having a full 

60 days to market their home, entering the home sale program, and then finding a buyer 

shortly thereafter. Employees who have found a buyer during the 60-day marketing period 

may enter the home sale program immediately. 

Number of Participants – This number represents only the number of employees who 

completed the process by either accepting the appraised value offer, or who sold their 

house to the relocation contractor using the amended value process. 

Attachment 1
CHANGE OF STATION PROGRAM

Fiscal 

Year

Number of 

Moves 

New Hires Transfers Obligations 

Number Average 

Cost 

Number Average 

Cost 

FY 2004 153 76 $13K 77 $70K $6.4M 

FY 2005 139 64 $14K 75 $72K $6.3M 

FY 2006 201 123 $15K 78 $91K $9.0M 

FY 2007 232 121 $16K 111 $93.5K $12.3M 

FY 2008 255 146 $16K 109 $68.4K $9.9M 

FY 2009 150 90 $19K 60 $81K $6.5M 

FY 2010 139 79 $17K 60 $84K $6.4M 

FY 2011 119 45 $12K 74 $80K $5.9M 

FY 2012 63 17 $10K 46 $98.6K $4.7M 

FY 2013 124 46 $13K 78 $107K $9.0M 

FY 2014 140 57 $14K 83 $68K $6.8M 

Definitions: 

New Hires - Employees new to Federal service and requiring relocation to their first duty 

station. 

Transfers - U.S. Nuclear Regulatory Commission (NRC) employees transferring duty stations 

within the agency or current Federal employees relocating from other Government agencies to 

the NRC. 

Attachment 2