Matter of: Michael R. Coulter

B-272711.2 Dec 17, 1996 Jump To VIEW DECISION RELATED PAGES GAO CONTACTS Highlights Even though the airports are only 17 miles apart. FAA determined that he was not entitled to expenses and seeks repayment of the expenses paid. Employee's request for waiver of the debt is granted. Was repeatedly assured that he was eligible for relocation benefits. GAO finds that he incurred the expenses in good faith reliance on his travel orders and was without fault in accepting payments for those expenses. DECISION This decision is in response to one of 29 requests forwarded to us by the Manager. 000 in erroneous payments made to him in reliance on his permanent change of station (PCS) orders was denied by FAA officials. The denial was based on findings of the DOT Office of Inspector General and the office of the FAA Chief Financial Officer. View Decision Matter of: Michael R. Coulter File: B-272711.2 Date: December 17, 1996 The FAA erroneously authorized relocation expenses for an employee on his transfer from old Denver Stapleton Airport to new Denver International Airport, even though the airports are only 17 miles apart. After issuing travel orders and paying employee's voucher for expenses incurred, FAA determined that he was not entitled to expenses and seeks repayment of the expenses paid. Employee's request for waiver of the debt is granted. Before incurring expenses, employee questioned officials as to his eligibility, both before and after issuance of orders, and was repeatedly assured that he was eligible for relocation benefits. GAO finds that he incurred the expenses in good faith reliance on his travel orders and was without fault in accepting payments for those expenses. DECISION This decision is in response to one of 29 requests forwarded to us by the Manager, Financial Policy and Administrative Branch, Office of Financial Services, Federal Aviation Administration (FAA), U.S. Department of Transportation (DOT), for waiver of erroneous payments of relocation expenses and allowances in connection with the relocation of FAA employees to the new Denver International Airport. This particular claim concerns an FAA employee, Michael R. Coulter, whose claim for waiver of repayment of over $19,000 in erroneous payments made to him in reliance on his permanent change of station (PCS) orders was denied by FAA officials. The denial was based on findings of the DOT Office of Inspector General and the office of the FAA Chief Financial Officer, concluding that the employee's PCS move resulted in the employee having an increased commuting time and distance. BACKGROUND Mr. Coulter is employed by the FAA as an Air Traffic Control Specialist in Denver, Colorado. In October 1993, the new Denver International Airport was scheduled to open, and, in anticipation of this opening, Mr. Coulter received travel orders authorizing him to make a PCS move in connection with his transfer from Denver's old Stapleton Airport to the new Denver International Airport, even though the airports were only 17 miles apart. Mr. Coulter states that "everyone else in the facility" also received similar orders. After receiving the orders, Mr. Coulter states he began asking questions to anyone and everyone in management whether he was eligible for the move because he was concerned that the interpretation he and others were getting would not be valid. The employee amply demonstrates in the record that FAA officials confirmed his eligibility for a PCS move both before and after his receipt of travel orders authorizing relocation expenses. Moreover, his relocation expense voucher, submitted after he incurred the expenses, was approved and paid in the total amount of $19,028.74. The employee does not dispute the subsequent finding of the agency's Office of Inspector General and the FAA Chief Financial Officer that his PCS move resulted in an increased time and distance of his commute to the new station. In 1994, after the airport had opened, DOT's Office of Inspector General conducted an audit to determine whether FAA had adequate controls to ensure that the PCS moves involving Mr. Coulter and similarly situated employees were necessary or cost effective. The audit report evaluated FAA policies, procedures, and practices, and found that FAA did not have adequate controls to ensure that the short-distance PCS moves were necessary, cost effective, and in the best interest of the government. Among other things, the report recommended that FAA cancel all proximity travel orders at Denver and instruct managers to conduct a case-by-case review of all future moves at this location to ensure that each move is in the best interest of the government, is justified to resolve an unreasonable commute, and results in a relocation of residence which is incident to the transfers. The report identified 22 ineligible PCS moves at Denver and recommended that amounts already paid to these employees be recovered.