William R. Lenderking

B-261878 Mar 06, 1996 Jump To VIEW DECISION RELATED PAGES GAO CONTACTS Highlights Circumstances exist that are beyond the control of the employee and acceptable to the agency. 5 U.S.C. sec. 5724(i) (1994). Our Office will not overturn agency findings in such cases unless we find them to be arbitrary or capricious. Agency's determination that he is not entitled to relocation expenses is not arbitrary or capricious. We hold that he is not entitled to relocation allowances. Was transferred from Islamabad. Lenderking that he was being retired effective August 31. Lenderking was granted an extension of his retirement date to September 29. He was transferred from Miami. Lenderking was told by USIA that expenses would not be paid if he attended the program. Lenderking was transferred and received full salary but no expense allowance for the duration of the program. View Decision Matter of: William R. Lenderking File: B-261878 Date: March 6, 1996 An employee must complete 1 year of service following transfer to qualify for reimbursement of relocation expenses unless, as determined by the agency, circumstances exist that are beyond the control of the employee and acceptable to the agency. 5 U.S.C. sec. 5724(i) (1994). Our Office will not overturn agency findings in such cases unless we find them to be arbitrary or capricious. Where employee accepted transfer with knowledge that he would be involuntarily retired in 3 months, agency's determination that he is not entitled to relocation expenses is not arbitrary or capricious. DECISION Mr. James Q. Kohler, Jr., Chief, Financial Operations Division, United States Information Agency, requests an advance decision on the entitlement of Mr. William R. Lenderking to relocation allowances in connection with his reassignment to Washington, D.C. We hold that he is not entitled to relocation allowances. BACKGROUND In June 1992, Mr. Lenderking, a Career Minister Counselor for the United States Information Agency (USIA), was transferred from Islamabad, Pakistan, to Miami, Florida, for a 2-year assignment as diplomat in residence and senior research associate at the North-South Center of the University of Miami. By letter dated November 5, 1993, USIA's Personnel Director notified Mr. Lenderking that he was being retired effective August 31, 1994. [1] Mr. Lenderking was granted an extension of his retirement date to September 29, 1994, to accommodate his participation in the agency's career transition program. By Travel Authorization T4-2770, dated March 23, 1994, he was transferred from Miami, Florida, to Washington, D.C., to attend the career transition program, effective June 27, 1994. Mr. Lenderking was told by USIA that expenses would not be paid if he attended the program. Mr. Lenderking was transferred and received full salary but no expense allowance for the duration of the program. A prerequisite to entering the career transition program is the execution of a retirement agreement. This agreement indicated his separation would be effective in 3 months, on September 29, 1994. Mr. Lenderking did not execute an agreement to remain in government service for 1 year following the transfer, normally a prerequisite to qualifying for relocation expense reimbursement. Mr. Lenderking submitted a travel reimbursement voucher in the amount of $33,332.48, which includes a claim for $32,434.00 for real estate transaction expenses for the sale of his residence in Coral Gables, Florida. Mr. Lenderking contends that he is entitled to be reimbursed for residence transaction expenses for the sale of his residence since he had received residence transaction expenses for the purchase of the residence when he transferred to Florida in 1992. He also contends that, since his retirement was mandatory, it was for reasons beyond his control and, hence, that he should qualify for relocation allowances. The USIA states that it has consistently interpreted the phrase "beyond his control" as applying to situations where separations occur without warning, such as reduction-in-force or sudden medical disability retirements. The USIA advises that where an employee is given several months notice of Time-in-Class (TIC) Mandatory Retirement, it does not deem such a retirement to be an acceptable reason beyond the employee's control that would qualify him for relocation allowances. The USIA certifying officer requests a decision as to whether Mr. Lenderking should be reimbursed relocation allowances as authorized under 5 U.S.C. sec. 5724(a), 6 FAM, and 41 C.F.R. Part 302. ANALYSIS AND CONCLUSION The payment of travel, leave, and other benefits for members of the Foreign Service is authorized under 22 U.S.C. sec. 4081 (1995) as implemented by regulations contained in the Foreign Affairs Manual (FAM). 6 FAM sec. 148.1 provides for a Domestic Relocation Allowance for personnel transferred within the United States.