13770 Federal Register / Vol. 62, No. 55 / Friday, March 21, 1997 / Rules and Regulations

§ 302–4.13 What methods may my agency use to reimburse me for househunting trip expenses?

Your agency will reimburse your househunting trip expenses as indicated in the following table:

For You are reimbursed

You and/or your spouse’s transportation expenses.Your actual transportation costs.

You and/or your spouse’s subsistence expenses.One of the following:

(a) A per diem allowance for you and/or your spouse as prescribed under part 302–2 of this chapter;

or

(b) If you accept your agency’s offer of the fixed amount option, and:

(1) Both you and your spouse perform a househunting trip either together or separately, a single

amount determined by multiplying the applicable locality rate (listed in appendix A to chapter 301

of this subtitle) by 6.25, or

(2) Only one of you performs a househunting trip, an amount determined by multiplying the applicable locality rate (listed in appendix A to chapter 301 of this subtitle) by 5.

§ 302–4.14 What transportation expenses

will my agency pay?

Your agency will authorize you to

travel by the transportation mode(s)

(e.g., airline, train, or privately owned

automobile) it determines to be

advantageous to the Government. Your

agency will pay for your transportation

expenses by the authorized mode(s). If

you travel by any other mode(s), your

agency will pay your transportation

expenses not to exceed the cost of

transportation by the authorized

mode(s).

§ 302–4.15 Must I document my

househunting trip expenses to receive

reimbursement?

To receive reimbursement for

househunting trip transportation

expenses you must itemize your

transportation expenses and provide

receipts as required by § 301–11.3(c) of

this subtitle. For fixed amount

househunting trip subsistence

reimbursement, you do not document

your subsistence expenses. For per diem

househunting trip subsistence expense

reimbursement, you must itemize your

lodging expenses and you must provide

receipts as required by § 301–7.9(b) and

§ 301–11.3(c) of this subtitle.

§ 302–4.16 May I receive an advance of

funds for househunting trip expenses?

Your agency may authorize an

advance of funds, in accordance with

§ 302–1.14(a) of this chapter, for your

househunting trip expenses. Your

agency may not advance you funds in

excess of the sum of your anticipated

transportation costs and either the

maximum per diem allowable under

part 302–2 of this chapter for the

location and duration of your

househunting trip or your fixed amount

househunting trip subsistence expenses

payment, whichever applies.

§ 302–4.17 Am I in a duty status when I

perform a househunting trip?

Yes.

Subpart B—Agency Responsibilities

Note to Subpart B: Use of the pronouns

‘‘we’’ and ‘‘you’’ throughout this subpart

refers to the agency.

§ 302–4.100 How should we administer the

househunting trip expenses allowance?

You should administer the

househunting trip expenses allowance

to minimize or avoid its use when other

satisfactory and more economical

arrangements are available.

§ 302–4.101 What governing policies must

we establish for the househunting trip

expenses allowance?

You must establish policies and

procedures governing:

(a) When you will authorize a

househunting trip for an employee;

(b) Who will determine if a

househunting trip is appropriate in each

situation;

(c) If and when you will authorize the

fixed amount option for househunting

trip subsistence expenses

reimbursement;

(d) Who will determine the

appropriate duration of a househunting

trip for an employee who selects a per

diem allowance under part 302–2 of this

chapter to reimburse househunting trip

subsistence expenses; and

(e) Who will determine the mode(s) of

transportation to be used.

§ 302–4.102 Under what circumstances

may we authorize a househunting trip?

You may authorize a househunting

trip on an individual-case basis when

the employee has accepted the transfer

and his/her circumstances indicate that

a househunting trip actually is needed.

You may not authorize a househunting

trip when the purpose of the trip is to

assist the employee in deciding whether

he or she will accept the transfer.

§ 302–4.103 What factors must we

consider in determining whether to offer an

employee the fixed amount househunting

trip subsistence expenses reimbursement

option?

You must consider the following

factors:

(a) Ease of administration. Payment of

a per diem allowance under part 302–

2 of this chapter requires you to review

claims for the validity, accuracy, and

reasonableness of each expense amount,

except for meals and incidental

expenses. Fixed amount househunting

trip subsistence expenses

reimbursement is easier to administer

because you do not have to review

expense amounts.

(b) Cost considerations. You must

weigh the cost of each reimbursement

option on a case-by-case basis.

(c) Treatment of employees. The

employee is allowed to choose between

a per diem allowance under part 302–

2 of this chapter and fixed amount

househunting trip subsistence expenses

reimbursement when you offer the fixed

amount reimbursement method. You

therefore should weigh employee

morale and productivity considerations

against actual cost considerations in

determining which method to offer.

Dated: March 18, 1997.

Thurman M. Davis, Sr.,

Acting Administrator of General Services.

[FR Doc. 97–7236 Filed 3–20–97; 8:45 am]

BILLING CODE 6820–34–P

41 CFR Part 302–1

[FTR Amendment 64]

RIN 3090–AG44

Federal Travel Regulation; Temporary

Change of Station

AGENCY: Office of Governmentwide

Policy, GSA.

ACTION: Final rule.
Federal Register / Vol. 62, No. 55 / Friday, March 21, 1997 / Rules and Regulations 13771

SUMMARY: This final rule amends the

Federal Travel Regulation (FTR) to

allow an agency to pay a limited set of

relocation allowances in connection

with a temporary change of station for

a period of not less than 6, nor more

than 30, months. This amendment is

intended to reduce Government

expenditures for the long-term

assignment of an employee to a

temporary official station and to

increase the employee’s satisfaction by

providing an alternative to a long-term

temporary duty travel assignment that

would involve a prolonged separation

from his/her immediate family.

DATES: This final rule is effective March

22, 1997, and applies to an employee

whose effective date of transfer (date the

employee reports for duty at the new

official station) is on or after March 22,

1997.

FOR FURTHER INFORMATION CONTACT:

Robert A. Clauson, Travel and

Transportation Management Policy

Division (MTT), Washington, DC 20405,

telephone 202–501–0299.

SUPPLEMENTARY INFORMATION: A multiagency travel reinvention task force was

organized in August 1994 under the

auspices of the Joint Financial

Management Improvement Program

(JFMIP) to reengineer Federal travel

rules and procedures. The task force

developed 25 recommended travel

management improvements published

in a JFMIP report entitled Improving

Travel Management Governmentwide,

dated December 1995. On September 23,

1996, the President signed into law the

Federal Employee Travel Reform Act of

1996 (Pub. L. 104–201), which included

8 legislative changes recommended by

the JFMIP to improve travel and the

delivery of relocation services.

This amendment implements section

1716 of the Act which provides the

General Services Administration (GSA)

authority to issue regulations permitting

an agency pay a limited set of relocation

allowances for a temporary change of

station instead of paying temporary duty

travel allowances when an employee is

assigned to a temporary official station

for a period of not less than 6, nor more

than 30, months. This amendment is

written in the ‘‘plain English style of

regulation writing as a continuation of

GSA’s effort to make the FTR easier to

understand and to use.

What is the ‘‘Plain English’’ Style of

Regulation Writing?

The ‘‘plain English’’ style of

regulation writing is a new, question

and answer format that is simpler to

read and understand. Questions are in

the first person, and answers are in the

second person. GSA uses a ‘‘we’’

question and a ‘‘you’’ answer when

referring to an agency, and an ‘‘I’’

question and a ‘‘you’’ answer when

referring to the employee.

How Does the Plain English Style of

Regulation Writing Affect Employees?

A question and its answer combine to

establish a rule. The employee and the

agency must follow the language

contained in both the question and its

answer.

GSA has determined that this rule is

not a significant regulatory action for

the purposes of Executive Order 12866

of September 30, 1993. This final rule is

not required to be published in the

Federal Register for notice and

comment. Therefore, the Regulatory

Flexibility Act does not apply. This rule

also is exempt from Congressional

review prescribed under 5 U.S.C. 801

since it relates solely to agency

management and personnel.

List of Subjects in 41 CFR Part 302–1

Government employees, saved and

transportation expenses.

For the reasons set out in the

preamble, 41 CFR part 302–1 is

amended as follows:

PART 302–1—APPLICABILITY,

GENERAL RULES, AND ELIGIBILITY

CONDITIONS

1. The authority citation for part 302–

1 continues to read as follows:

Authority: 5 U.S.C. 5738; 20 U.S.C. 905(a);

E.O. 11609, 36 FR 13474, 3 CFR, 1971–1975

Comp., p. 586.

Subpart A—New Appointees and

Transferred Employees

2. Section 302–1.3 is amended by

revising paragraph (a)(2) to read as

follows:

§ 302–1.3 General provisions.

(a) * * *

(2) Discretionary coverage. The head

of an agency, or his/her designee, may

authorize the payment of travel and

transportation expenses and applicable

allowances in the case of:

(i) A new appointee, as defined in

§ 302–1.4(d), relocating from his/her

place of actual residence at the time of

appointment (or at the time following

the most recent Presidential election,

but before selection or appointment, in

the case of an individual who has

performed transition activities under

section 3 of the Presidential Transition

Act of 1963 (3 U.S.C. 102 note) and who

is appointed in the same fiscal year as

the Presidential inauguration that

immediately follows his/her transition

activities) for permanent duty to an

official station; and

(ii) An employee authorized a

temporary change of station under

subpart C of this part in connection with

the employee s long-term assignment to

a temporary official station.

* * * * *

3. Part 302–1 is amended by adding

subparts C and D to read as follows:

Subpart C—Employee’s Temporary Change

of Station

Sec.

302–1.200 What is a ‘‘temporary change of

station (TCS)’’?

302–1.201 What is the purpose of a TCS?

302–1.202 Am I eligible for a TCS?

302–1.203 Who is not eligible for a TCS?

302–1.204 Must my agency authorize a TCS

when I am directed to perform a longterm assignment at a temporary official

station?

302–1.205 Under what circumstances will

my agency authorize a TCS?

302–1.206 If my agency authorizes a TCS,

do I have the option of electing payment

of temporary duty travel allowances

instead?

302–1.207 How long must my assignment

be for me to qualify for a TCS?

302–1.208 What is the effect on my TCS

reimbursement if my assignment lasts

less than 6 months?

302–1.209 What is the effect on my TCS

reimbursement if my assignment lasts

more than 30 months?

302–1.210 Is there any required minimum

distance between an official station and

a long-term assignment location that

must be met for me to qualify for a TCS?

302–1.211 Must I sign a service agreement

to qualify for a TCS?

302–1.212 What is my official station

during my long-term assignment?

Expenses Paid Upon Assignment

302–1.213 What expenses must my agency

pay for a TCS upon my assignment?

302–1.214 What expenses may my agency

pay for a TCS upon my assignment?

Expenses Paid During Assignment

302–1.215 If my agency authorizes a TCS,

will it pay for nontemporary storage of

my household goods?

302–1.216 How long may my agency pay

for nontemporary storage of my

household goods?

302–1.217 Is there any limitation on the

combined weight of household goods I

may transport or nontemporarily store at

Government expense?

302–1.218 What are the income tax

consequences if my agency pays for

nontemporary storage of my household

goods?

302–1.219 Will my agency pay for property

management services when I am

authorized a TCS?

302–1.220 What is the property for which

my agency will pay for property

management services?

302–1.221 How long will my agency pay for

property management services?
13772 Federal Register / Vol. 62, No. 55 / Friday, March 21, 1997 / Rules and Regulations

302–1.222 What are the income tax

consequences when my agency pays for

property management services?

Expenses Paid Upon Completion of

Assignment or Upon Separation From

Government Service

302–1.223 What expenses will my agency

pay when I complete my long-term

assignment?

302–1.224 If I separate from Government

service upon completion of my long-term

assignment, what relocation expenses

will my agency pay upon my separation?

302–1.225 If I separate from Government

service prior to completion of my longterm assignment, what relocation

expenses will my agency pay upon my

separation?

302–1.226 If I have been authorized

successive temporary changes of station

and reassigned from one temporary

official station to another, what expenses

will my agency pay upon completion of

my last assignment or my separation

from Government service?

Permanent Assignment to Temporary

Official Station

302–1.227 How is payment of my TCS

expenses affected if I am permanently

assigned to my temporary official

station?

302–1.228 What relocation allowances may

my agency pay when I am permanently

assigned to my temporary official

station?

302–1.229 If I am permanently assigned to

my temporary official station, is there

any limitation on the weight of

household goods I may transport at

Government expense to my official

station?

302–1.230 Are there any relocation

allowances my agency may not pay if I

am permanently assigned to my

temporary official station?

Subpart D—Agency Responsibilities for

Temporary Change of Station

Sec.

302–1.300 How should we administer our

TCS program?

302–1.301 What governing policies must

we establish for our TCS program?

302–1.302 What factors should we consider

in determining whether to authorize a

TCS for a long-term assignment?

Subpart C—Employee’s Temporary

Change of Station

Note to subpart C: Use of the pronouns ‘‘I’’

and ‘‘you’’ throughout this subpart refers to

the employee.

§ 302–1.200 What is a ‘‘temporary change

of station (TCS)’’?

TCS means the relocation of an

employee to a new official station for a

temporary period while the employee is

performing a long-term assignment, and

subsequent return of the employee to

the previous official station upon

completion of that assignment.

§ 302–1.201 What is the purpose of a TCS?

TCS provides agencies an alternative

to a long-term temporary duty travel

assignment to increase employee

satisfaction and enhance morale, reduce

the employee’s income tax liability, and

save the Government money.

§ 302–1.202 Am I eligible for a TCS?

Yes, if you are an employee who is

directed to perform a long-term

assignment at a temporary location, and

you otherwise would be eligible for

payment of temporary duty travel

allowances authorized under chapter

301 of this subtitle. For exceptions, see

§ 302–1.203.

§ 302–1.203 Who is not eligible for a TCS?

The following individuals are not

eligible for a TCS:

(a) A new appointee;

(b) An employee assigned to or from

a State or local Government under the

Intergovernmental Personnel Act (5

U.S.C. 3372, et. seq.);

(c) An individual employed

intermittently in the Government

service as a consultant or expert and

paid on a daily when-actually-employed

(WAE) basis;

(d) An individual serving without pay

or at $1 a year; or

(e) An employee assigned under the

Government Employees Training Act (5

U.S.C. 4109).

§ 302–1.204 Must my agency authorize a

TCS when I am directed to perform a longterm assignment at a temporary official

station?

No. Your agency determines the

conditions under which a TCS is

necessary to accomplish the purposes of

the Government effectively and

economically.

§ 302–1.205 Under what circumstances

will my agency authorize a TCS?

Your agency will authorize a TCS

when:

(a) You are directed to perform a longterm assignment at another duty station;

(b) Your agency otherwise could

authorize temporary duty travel and pay

travel allowances, including payment of

subsistence expenses, under chapter 301

of this subtitle for the long-term

assignment;

(c) Your agency determines it would

be more advantageous, cost and other

factors considered, to authorize a TCS;

and

(d) You meet any additional

conditions your agency has established.

§ 302–1.206 If my agency authorizes a

TCS, do I have the option of electing

payment of temporary duty travel

allowances instead?

No.

§ 302–1.207 How long must my

assignment be for me to qualify for a TCS?

Not less than 6 months, nor more than

30 months.

§ 302–1.208 What is the effect on my TCS

reimbursement if my assignment lasts less

than 6 months?

Your agency may authorize a TCS

only when a long-term assignment is

expected to last 6 months or more. If

your assignment is cut short for reasons

other than separation from Government

service, you will be paid TCS expenses.

§ 302–1.209 What is the effect on my TCS

reimbursement if my assignment lasts more

than 30 months?

If your assignment exceeds 30

months, your agency must permanently

assign you to the temporary official

station or return you to your previous

official station. Your agency may not

pay for nontemporary storage or

property management services incurred

after the last day of the thirtieth month.

Your agency must pay the expenses of

returning you and your immediate

family and household goods to your

previous official station unless you are

permanently assigned to your temporary

official station.

§ 302–1.210 Is there any required minimum

distance between an official station and a

long-term assignment location that must be

met for me to qualify for a TCS?

No. Your agency may establish the

area within which it will not authorize

a TCS.

§ 302–1.211 Must I sign a service

agreement to qualify for a TCS?

No.

§ 302–1.212 What is my official station

during my long-term assignment?

Your official station is the location of

your long-term assignment.

Expenses Paid Upon Assignment

§ 302–1.213 What expenses must my

agency pay for a TCS upon my

assignment?

Your agency must pay the following:

(a) Travel, including per diem, for you

and your immediate family under part

302–2 of this chapter;

(b) Transportation and temporary

storage of your household goods under

part 302–8 of this chapter;

(c) Transportation of a mobile home

instead of transportation of household

goods under part 302–7 of this chapter;

(d) A miscellaneous expenses

allowance under part 302–3 of this

chapter;

(e) Transportation of a privately

owned vehicle(s) under part 302–10 of

this chapter; and
Federal Register / Vol. 62, No. 55 / Friday, March 21, 1997 / Rules and Regulations 13773

(f) A relocation income tax allowance

under part 302–11 of this chapter for

additional income taxes you incur on

payments your agency makes under the

authority of this section and § 302–1.214

for your relocation expenses.

§ 302–1.214 What expenses may my

agency pay for a TCS upon my

assignment?

Your agency may pay the following:

(a) Househunting trip expenses under

part 302–4 of this chapter; and

(b) Temporary quarters subsistence

expenses under part 302–5 of this

chapter.

Expenses Paid During Assignment

§ 302–1.215 If my agency authorizes a

TCS, will it pay for nontemporary storage of

my household goods?

Yes, when nontemporary storage is

necessary. Nontemporary storage

expenses include necessary packing,

crating, unpacking, uncrating,

transporting to and from place of

storage, charges while in storage, and

other necessary charges directly related

to storage.

§ 302–1.216 How long may my agency pay

for nontemporary storage of household

goods?

For the duration of your long-term

assignment.

§ 302–1.217 Is there any limitation on the

combined weight of household goods I may

transport or nontemporarily store at

Government expense?

Yes, the maximum combined weight

is 18,000 pounds net weight. If you

transport and/or nontemporarily store

household goods in excess of the

maximum weight allowance, you will

be responsible for any excess cost.

§ 302–1.218 What are the income tax

consequences if my agency pays for

nontemporary storage of my household

goods?

You will be taxed on the amount of

nontemporary storage expenses your

agency pays. However, your agency will

pay you a relocation income tax

allowance under part 302–11 of this

chapter for substantially all of the

additional Federal, State and local

income taxes you incur on the expenses

your agency pays.

§ 302–1.219 Will my agency pay for

property management services when I am

authorized a TCS?

Yes. Your agency will reimburse you

directly for expenses you incur or make

payments on your behalf to a relocation

services company, if you so choose. The

term ‘‘property management services’’

refers to a program provided by a

private company for a fee, which assists

you in managing your residence at your

previous official station as a rental

property. Services provided by the

company may include, but are not

limited to, obtaining a tenant,

negotiating a lease, inspecting the

property regularly, managing repairs

and maintenance, enforcing lease terms,

collecting the rent, paying the mortgage

and other carrying expenses from rental

proceeds and/or funds of the employee,

and accounting for the transactions and

providing periodic reports to the

employee.

§ 302–1.220 What is the property for which

my agency will pay for property

management services?

Only your residence at your previous

official station.

§ 302–1.221 How long will my agency pay

for property management services?

For the duration of your long-term

assignment.

§ 302–1.222 What are the income tax

consequences when my agency pays for

property management services?

You will be taxed on the amount of

property management expenses your

agency pays, whether it reimburses you

directly for your expenses or pays a

relocation services company to manage

your residence. However, your agency

will pay you a relocation income tax

allowance under part 302–11 of this

chapter for substantially all of the

additional Federal, State and local

income taxes you incur on the expenses

your agency pays. You may wish to

consult with a tax advisor to determine

whether you will incur any additional

tax liability, unrelated to your agency s

payment of your property management

expenses, as a result of maintaining

your residence as a rental property.

Expenses Paid Upon Completion of

Assignment or Upon Separation From

Government Service

§ 302–1.223 What expenses will my

agency pay when I complete my long-term

assignment?

Your agency will pay the following

expenses in connection with your return

to your previous official station:

(a) Travel, including per diem, for you

and your immediate family under part

302–2 of this chapter;

(b) Transportation and temporary

storage of your household goods under

part 302–8 of this chapter;

(c) Transportation of a mobile home

instead of transportation of your

household goods under part 302–7 of

this chapter;

(d) Temporary quarters subsistence

expenses under part 302–5 of this

chapter;

(e) A miscellaneous expenses

allowance under part 302–3 of this

chapter;

(f) Transportation of a privately

owned vehicle(s) under part 302–10 of

this chapter; and

(g) A relocation income tax allowance

under part 302–11 of this chapter for

additional income taxes you incur on

payments your agency makes under the

authority of this section for your

relocation expenses.

§ 302–1.224 If I separate from Government

service upon completion of my long-term

assignment, what relocation expenses will

my agency pay upon my separation?

The same relocation expenses it

would have paid had you not separated

from Government service upon

completion of your long-term

assignment.

§ 302–1.225 If I separate from Government

service prior to completion of my long-term

assignment, what relocation expenses will

my agency pay upon my separation?

If the separation is for reasons beyond

your control that are acceptable to your

agency, your agency will pay the same

relocation expenses it would pay under

§ 302–1.224 if you separated from

Government service upon completion of

the long-term assignment. If this is not

the case, the expenses your agency pays

may not exceed the reimbursement that

you would have received under chapter

301 of this subtitle had you been

auhorized to perform temporary duty

travel for the duration of the long-term

assignment.

§ 302–1.226 If I have been authorized

successive temporary changes of station

and reassigned from one temporary official

station to another, what expenses will my

agency pay upon completion of my last

assignment or my separation from

Government service?

Your agency will pay the expenses

authorized in § 302–1.223 for your

relocation from your current temporary

official station to your last permanent

official station.

Permanent Assignment to Temporary

Official Station

§ 302–1.227 How is payment of my TCS

expenses affected if I am permanently

assigned to my temporary official station?

Payment of TCS expenses stops once

your temporary official station becomes

your permanent official station. Your

agency may not pay any TCS expenses

incurred beginning the day your

temporary official station becomes your

permanent official station.
13774 Federal Register / Vol. 62, No. 55 / Friday, March 21, 1997 / Rules and Regulations

§ 302–1.228 What relocation allowances

may my agency pay when I am permanently

assigned to my temporary official station?

Your agency may pay the following:

(a) Travel, including per diem, under

part 302–2 of this chapter for one round

trip between your temporary official

station and your previous official station

for you and members of your immediate

family who relocated to the temporary

official station with you. Your agency

may also pay the same expenses for a

one-way trip from the previous official

station to the new permanent official

station for any immediate family

members who did not accompany you

to the temporary official station.

(b) Residence transaction expenses

under part 302–6 of this chapter;

(c) Property management expenses

under part 302–14 of this chapter;

(d) Residence-related relocation

services expenses, (e.g. expenses under

a homesale program, expenses for

homefinding assistance, and property

management services) under part 302–

12 of this chapter;

(e) Temporary quarters subsistence

expenses under part 302–5 of this

chapter;

(f) Transportation of household goods

not previously transported to the

temporary official station under part

302–8 of this chapter; and

(g) Transportation of a privately

owned vehicle(s) not previously

transported to the temporary official

station under part 302–10 of this

chapter.

§ 302–1.229 If I am permanently assigned

to my temporary official station, is there any

limitation on the weight of household goods

I may transport at Government expense to

my official station?

Yes. You are limited to 18,000 pounds

net weight. This maximum weight will

be reduced by the weight of any

household goods transported at

Government expense to your temporary

official station under your TCS

authorization. Subject to the 18,000

pound limit, your agency will pay to

transport any household goods in

nontemporary storage to your official

station. Additionally, if you change your

residence as a result of your permanent

assignment to your temporary official

station, your agency may pay for

transporting your household goods,

subject to the 18,000 pound limit,

between the residence you occupied

during your temporary assignment and

your new residence.

§ 302–1.230 Are there any relocation

allowances my agency may not pay if I am

permanently assigned to my temporary

official station?

Your agency may not pay for the

following:

(a) Expenses of a househunting trip

for you and your spouse to your

temporary official station under part

302–4 of this chapter; or

(b) Residence transaction expenses for

selling a residence or breaking a lease at

the temporary official station under part

302–6 of this chapter.

Subpart D—Agency Responsibilities

for Temporary Change of Station

Note to subpart D: Use of the pronouns

‘‘we’’ and ‘‘you’’ throughout this subpart

refers to the agency.

§ 302–1.300 How should we administer our

TCS program?

To minimize your travel and

relocation costs.

§ 302–1.301 What governing policies must

we establish for our TCS program?

Policies and procedures that govern:

(a) When you will authorize a TCS,

including whether you will impose a

minimum distance between the

employee s current official station and

the proposed temporary official station

for an employee to qualify for a TCS;

and

(b) Who will determine whether

authorization of a TCS is appropriate in

each situation.

§ 302–1.302 What factors should we

consider in determining whether to

authorize a TCS for a long-term

assignment?

You should consider the following

factors in determining whether to

authorize a TCS:

(a) Cost considerations. You should

consider the cost of each alternative. A

long-term temporary duty travel

assignment requires the payment of

either per diem or actual subsistence

expenses for the entire period of the

assignment. This could be very costly to

the agency over an extended period. A

TCS will require fairly substantial

relocation allowance payments at the

beginning and end of the assignment,

and less substantial payments for

nontemporary storage and property

management services, when authorized,

during the period of the assignment.

Agencies should estimate the total cost

of each alternative and authorize the

one that is most advantageous for the

agency, cost and other factors

considered.

(b) Length of the long-term

assignment. You should consider the

length of the long-term assignment. The

purpose of temporary duty travel

allowances is to reimburse an employee

for additional costs, including

subsistence costs, incurred as a result of

performing official business away from

his/her official station. An employee

receives a salary intended to cover his/

her living expenses, including

subsistence costs, at the official station.

When an employee performs a longterm assignment and obtains extended

stay living accommodations with

facilities not unlike those the employee

has at the official station, the

assignment characteristics may be more

similar to subsisting at the official

station than at a temporary duty station.

When this situation occurs, payment of

temporary duty travel allowances in

addition to payment of salary creates an

inequitable reimbursement situation

between an employee performing

official travel and an employee officially

stationed at the same location. In this

situation, you should strongly consider

authorizing a TCS for a long-term

assignment.

(c) Tax considerations. An employee

who performs a temporary duty travel

assignment exceeding one year at a

single location is subject to income

taxation of his/her travel expense

reimbursements. An employee who is

authorized and performs a TCS also will

be subject to income taxation of some,

but not all, of his/her TCS expenses.

You will pay an offsetting relocation

income tax allowance on an employee’s

TCS expense reimbursements but unless

specifically authorized by statute, you

do not have authority to pay such an

allowance for income taxes incurred on

temporary duty travel reimbursements.

You, therefore, should authorize a TCS

if a long-term temporary duty

assignment will result in an

unreimbursable income tax liability on

an employee.

(d) Employee concerns. The long-term

assignment of an employee away from

his/her official station and immediate

family may negatively affect the

employee’s morale and job performance.

Such negative effects may be alleviated

by authorizing a TCS so the employee

can transport his/her immediate family

and/or household goods at Government

expense to the location where he/she

will perform the long-term assignment.

You should consider the effects of a

long-term temporary duty travel

assignment on an employee when

deciding whether to authorize a TCS.

Dated: March 18, 1997.

Thurman M. Davis, Sr.,

Acting Administrator of General Services.

[FR Doc. 97–7237 Filed 3–20–97; 8:45 am]

BILLING CODE 6820–34–P