arc relocation guide · april 10, 2015 - “supplementary information (b) - summary of comments...

ARC RELOCATION GUIDE

Department of the Treasury Bureau of the Fiscal Service

Administrative Resource Center Travel Services Division

Relocation Services Branch

Version: August 18, 2015

1.0 ARC Relocation Guide Introduction ................................................................ 2

2.0 Employee Eligibility Requirements .................................................................. 8

3.0 Relocation Allowance by Specific Type ......................................................... 11

4.0 Subsistence and Transportation .................................................................... 13

5.0 House Hunting Trip Expenses ........................................................................ 15

6.0 Temporary Quarters Subsistence Expenses ................................................. 17

7.0 Transportation and Temporary Storage of Household Goods (HHG), Professional Books, Papers, and Equipment (PBP&E), and Baggage Allowance ................................................................................................................................. 19

8.0 Extended Storage of Household Goods (HHG) ........................................... 21

9.0 Transportation and Emergency Storage of a Privately Owned Vehicle .... 22

10.0 Transportation of Mobile Homes/Boats Used as a Primary Residence .... 23

11.0 Residence Transactions ............................................................................... 24

12.0 Relocation Services Company ...................................................................... 28

13.0 (Intentionally Left Blank) ............................................................................... 29

14.0 Home Marketing Incentive Payments ........................................................... 30

16.0 Miscellaneous Expenses (MEA) ................................................................... 32

Appendix A - Declaration of Domestic Partnership Form ................................A1

Table of Contents

Important Footnote: As of the date of this revision to the ARC Relocation Guide, the Supreme Court of the United States (SCOTUS) declared that same sex marriage is legal in all 50 States. GSA is reviewing the SCOTUS decision along with the FTR to see if any changes are required. Currently, the term “Domestic Partner” applies if the employee is living in a state (other jurisdiction) or foreign country that does not recognize same-sex marriages. The FTR Amendment 15-02 dated April 10, 2015 - “Supplementary Information (B) - Summary of Comments Received" provides regulatory information on domestic partners for those employees living in locations that do not recognize same-sex marriages. The SCOTUS decision now implies that the term “Domestic Partner” will no longer apply to the 50 states since an employee can now marry in those states. For an employee relocating within the U.S. (50 states / non-foreign area) or from the U.S. to a non U.S. location will require a "marriage" to recognize a spouse entitlement since they are now able to marry the same as employees who marry an opposite-sex spouse. For those employees currently living in a foreign location, the term “Domestic Partner” may still apply if those countries don't recognize same-sex marriages. When an employee transfers back to CONUS, they will no longer be considered as a domestic partner for any future non-U.S. relocations, since they transferred to a location that recognizes same-sex marriages. ARC Travel Services will update the Guide if any changes occur. ARC Relocation Guide Version: August 18, 2015 Page 1

The Federal Travel Regulation (FTR) Chapter 302 establishes mandatory relocation allowances that all agencies must provide. This Chapter also requires Government agencies to formulate policies and procedures for certain discretionary relocation allowances. The Bureau of the Fiscal Service, Administrative Resource Center (ARC) provides this Relocation Guide as our agency’s discretionary policy and procedures, in conjunction with the Fiscal Service Relocation Policy. The Guide also includes recommendations for our shared services customer agency partners to consider when creating their own required relocation procedures and agency discretionary policy. ARC shared service customer agencies may adopt our Guide in whole or in part. Discretionary policy decisions are driven by the goals to relocate employees and their families to their new assignments cost-efficiently and in the shortest possible time. Each customer agency is responsible for ensuring its employees are knowledgeable about any agency-specific policies. The FTR is available on the General Services Administration website, www.gsa.gov. Customer agency discretionary policy (ex: Treasury Directives for Treasury agencies only) govern any matter not specifically addressed in this Guide. A) Guidance Applicability: The ARC Relocation Guide applies to relocation travel of employee transfers, new appointments, and temporary change of station (TCS). This Guide is applicable to Bureau of the Fiscal Service relocating employees, and to ARC Relocation Services Branch shared service customers that choose to adopt this Guide or incorporate it into their own discretionary allowances agency policy. B) Guidance Scope: This Guide is limited to FTR discretionary relocation allowances. The following items are NOT within the scope of this Guide:

1. Mandatory relocation allowances which are discussed in Chapter 302 of the FTR. 2. International relocations are also subject to the Department of State Standardized

Regulations (DSSR) http://aoprals.state.gov/ that apply to all civilian employees transferring to or from a foreign post of duty.

3. The Department of State Foreign Affairs Manual (FAM), http://www.state.gov/m/a/dir/regs/ applies to State Department employees, member agencies, Foreign Service Officers, and agencies that have implemented their legislative authority to provide FAM allowances while stationed at a foreign post of duty. FAM allowances are outside the scope of this Guide however, ARC can assist customer agencies in applying and implementing their FAM legislative authority.

4. The Joint Travel Regulation (JTR) that applies to the Department of Defense is also not within the scope of this Guide.

C) ARC Contact Information:

ARC Travel Relocation (PCS) Services Branch - ARC's relocation travel program makes it easy for agencies and their travelers to meet Federal travel requirements. ARC uses moveLINQ, an end-to-end relocation cost management system developed

1.0 ARC Relocation Guide - Introduction

ARC Relocation Guide Version: August 18, 2015 Page 2

http://www.gsa.gov/Portal/gsa/ep/channelView.do?pageTypeId=8199&channelId=-16525&specialContentType=FTR&file=FTR/Chapter302p003.html

http://aoprals.state.gov/

http://www.state.gov/m/a/dir/regs/

by mLINQS, LLC. The system is used by ARC to prepare authorizations, amendments, vouchers, and to capture and report on all costs associated with relocations. ARC provides data to customers to meet the General Services Administration's (GSA) reporting requirements. Contact ARC Relocation Services on: (304) 480-8469.

ARC Travel Temporary Duty (TDY) Services Branch - ARC Travel Services also provides temporary duty travel E-Gov Travel Services using approved GSA vendors (including ETS II) and offers services such as help desk, travel policy support, and travel voucher payments to customers at service levels determined by their ARC Customer Agreement. Contact ARC TDY Services on: (304) 480-8000, Option 1.

Human Resources Involvement: It is crucial to involve shared service customer agency and/or ARC Human Resources personnel in initial relocation decisions. Relocations, whether for new appointees, transfers, or TCS should be anticipated and planned for as far in advance as possible. Relocation is a process. The decision to relocate, plans for the relocation, and decisions to grant waivers or deviations from standard policy should be made only after careful consideration of Human Resources policies, budget, and mission requirements. Pre-Decision Counseling: The FTR and ARC encourage relocation shared service agencies to provide pre-decision counseling to prospective employees before acceptance of a position that involves relocation. Vacancy Announcement: Prior to the hiring process, the vacancy announcement must specifically state whether or not relocation benefits are provided.

A. Relocation Benefits Provided: If relocation benefits are provided, a pre-decision counseling link is provided on the vacancy announcement for ARC Human Resources customers. (ARC can provide this document to customers who do not use ARC for Human Resources services for use as appropriate.) As soon as the candidate accepts the position, an approved “Request for Employee Relocation” form must be sent to ARC to initiate the relocation process. Employees receive mandatory entitlement counseling by ARC Relocation Coordinators when ARC receives the relocation request.

B. Relocation Benefits Not Provided:

If relocation benefits are not provided, agency personnel should document any justifications supporting that decision.

1.1 Initial Relocation Process


Relocation Must Be in the Interest of the Government: The relocation of a new appointee or a transfer at the expense of the Government must only occur when it is in the interest of the Government, and must not be undertaken for the transferring employee's convenience. The Fiscal Service and relocation shared service customer agencies must only authorize permanent or temporary change of station travel that is necessary to accomplish its mission in an effective, prudent, and economical manner. The agency's approving official is responsible for reviewing and ensuring compliance with mandatory FTR and agency policies. ARC can provide additional information about regulations and case decisions upon request. Accompanied Baggage: Government property or employee personal property necessary for official travel. Administrative Resource Center (ARC): An office of the Department of the Treasury, Bureau of the Fiscal Service that provides relocation, temporary duty travel and other shared services to customers at a service level determined by their ARC Customer Agreement. You may contact ARC at (304) 480-8469 (email: [email protected]). Approving Official: An agency official with delegated authority to approve or direct relocation travel for official Government business. Continental United States (CONUS): the 48 contiguous States and the District of Columbia. Cost Comparison: The preparation of a cost estimate of alternate travel modes or HHG shipping methods for a self-move under the Government Bill of Lading to determine which is most advantageous to the Government prior to preparing the authorization. This information must be attached to the travel document or typed in the comments section of the travel document to be retained for auditing purposes. Dependent: An immediate family member of the employee. Domestic Partnership: A committed relationship between two adults of the same sex in areas other than where same-sex marriage is now legal. See page 10 of this Guide for further requirements. En Route Travel: Travel between the old and new official duty stations. Extended Storage: The storage of household goods while an employee is assigned to an official station or post of duty where they are not authorized to take household goods (HHG), are unable to use HHG, or where storage is authorized in the interest of the Government. (Also called non-temporary storage) Government Bill of Lading (GBL): Used for the procurement of commercial transportation.

1.2 Definitions/Acronyms


Government Employees Training Act (GETA): Provides Federal agencies general authority for employee training. Home Marketing Incentive Payment (HMIP): A monetary payment to a transferee for aggressively marketing their home while in a managed home sale program that ultimately ends in an amended value sale. Home Sale Services: is an agency contracted program for home sales based on appraised or amended home values. The employee has the benefit of an offer by the Relocation Service Company for his/her home residence. Home Sale Services - Types of Sales:

1) Appraised Value Sale is a contract of sale extended to a relocating employee from the relocation services company to purchase the employee’s property based upon fair market value as derived from the average of a specific number of appraisals (two or more). 2) Amended Value Sale occurs when the relocating employee receives a bona-fide offer from a qualified buyer. If the contract is acceptable, the Relocation Services Company signs the contract and amends its offer to reflect the accepted contract price. 3) Amend-from-Zero Sale occurs when the employee receives a bona-fide outside offer prior to the completion of the appraisal process. Since there is no purchase offer, the Relocation Services Company amends from zero to match the outside offer. The value of the home is established by the buyer offer, not the appraised value or offer from the Relocation Services Company. 4) Buyer Value Option (BVO) is a variation of the Amended Value transaction and can be structured in numerous ways.

5) Direct Reimbursement is the program where the employer reimburses some or all home-sale expenses incurred by the employee.

Household Goods (HHG): Property, unless specifically excluded, associated with the home and all personal affects belonging to an employee and immediate family members on the effective date of the employee’s change of official station orders (the day the employee reports for duty at the new official station) that legally may be accepted and transported by a commercial HHG carrier. House Hunting Trip (HHT): A trip made by the employee and/or spouse to a new official duty station locality to find permanent living quarters to rent or purchase. Long Term Temporary Duty Travel (TDY): The extension of travel by an employee on official business outside the defined local travel area of the employee's official station. (Also see Temporary Change of Station).


Miscellaneous Expense Allowance (MEA): Defrays some of the costs incurred due to relocating such as discontinuing the transferee’s residence at the old official station, and/or establishing a residence at the new official station.

Non-Foreign OCONUS Areas: Consists of the states of Alaska and Hawaii, the Commonwealths of Puerto Rico and the Northern Mariana Islands, Guam, the U.S. Virgin Islands, and the territories and possessions of the United States (excludes the former Trust Territories of the Pacific Islands, which are considered foreign areas for the purposes of the FTR).

OCONUS: Outside the continental United States.

Official Station or Permanent Duty Station (PDS): An area defined by the agency that includes the location where the employee regularly performs his or her duties or an invitational traveler’s home or regular place of business. The area may be a mileage radius around a particular point, a geographic boundary, or any other definite domain, provided no part of the area is more than 50 miles from where the employee regularly performs his or her duties or from an invitational traveler’s home or regular place of business. If the employee’s work involves recurring travel or varies on a recurring basis, the location where the work activities of the employee’s position of record are based is considered the regular place of work.

Per Diem Allowance: A daily allotment to an employee for lodging, meals, and related incidental expenses. The per diem allowance does not include transportation expenses and other miscellaneous travel expenses. Permanent Change of Station Travel (PCS): Travel and other relocation expenses involved in the permanent change of an employee’s official station. Privately Owned Vehicle (POV): A motor vehicle not owned by the Government and used by the transferee (or his/her immediate family) for the primary purpose of providing personal transportation; an operable wheeled motor vehicle, intended for road use, legally licensed in the transferee’s name or in the name of a member of the transferee’s immediate family, which is regularly used by the family for personal transportation on a daily basis. Automobiles, station wagons, four-wheel drive vehicles, motorcycles and all similar vehicles are included. An antique car or a POV that is not regularly used to commute to and from work on a daily basis does not fit this definition for relocation purposes. (May also be referred to as privately owned auto – POA) Professional Books, Papers, and Equipment (PBP&E): Items in the employee’s possession that are needed in the performance of his/her official duty. Relocation Income Tax Allowance (RITA): Is authorized to reimburse eligible transferring employees for substantially all of the additional Federal, State, and local income taxes incurred by the employee, or by the employee and spouse if a joint tax return is filed, as a result of certain travel and transportation expense and relocation allowances which are furnished in kind, or for which reimbursement or an allowance is provided by the Government.


Relocation Service Company (RSC): A third-party supplier under contract with an agency to assist a transferring employee in relocating to the new official station. Services may include: home sale programs, home inspection, home marketing assistance, home finding assistance, property management services, shipment and storage of household goods, voucher review and payment, relocation counseling, and similar items. Relocation Travel: Travel and other relocation expenses involved in the temporary and permanent change of an employee's official station. Residence: The location from which an employee commutes daily to his/her official station. Temporary Change of Station (TCS): The relocation to a new official duty station for a temporary period while performing a long-term assignment and the subsequent return to the previous official station upon completion of that assignment. (Also see Long Term Temporary Duty Travel). Temporary Duty Station (TDS): The location away from the official duty station where the employee is temporarily on official business. Temporary Duty (TDY) Travel: Travel by an employee on official business outside the defined local travel area of the employee's official station. Temporary Storage (Storage in Transit or (SIT)): Storage of HHG for a limited period of time at origin, destination, or en route in connection with transportation to, from, or between official station or post of duty or authorized alternate points. Temporary Quarters (TQ): Lodging obtained for the purpose of temporary occupancy from a private or commercial source. Temporary Quarters Subsistence Expense (TQSE): Subsistence expenses incurred by an employee and/or immediate family while occupying temporary quarters. The TQSE allowance is intended to reimburse the employee equitably and reasonably for subsistence expenses incurred while occupying temporary quarters. Travel Authorization (Order – TA or TO): Written permission to travel on official business. The FTR requires travel orders to be in place prior to traveling on TDY or PCS. Traveler: An employee as defined by the Federal Travel Regulation who is authorized to perform official Government travel. Unaccompanied Air Baggage (UAB): Includes personal items and equipment (e.g., pots, pans, light housekeeping items, collapsible items such as cribs, playpens, and baby carriages, and other articles required for the care of the family) that may be shipped by air in accordance with Chapter 302 of the FTR. Household items (i.e., refrigerators, washing machines, and other major appliances or furniture) are not eligible as UAB. United States (U.S.): The 48 contiguous States, the District of Columbia, the States of Alaska and Hawaii, the Commonwealths of Puerto Rico, Guam, and the Northern Mariana Islands.


ARC Recommendations For Required FTR Agency Policies For

Discretionary Relocation Allowances The following sections list the FTR requirements for agencies to have policies in place for certain discretionary relocation allowances. Within each section is the ARC policy and recommendations on how ARC shared service customer agencies can either adopt the ARC recommendation or create their own specific agency policy.

Subpart B—Agency Responsibilities Note to Subpart B: Use of pronouns “we”, “you”, and their variants throughout this subpart refers to the agency. §302-2.100 What internal policies must we establish before authorizing a relocation allowance? Before authorizing a relocation allowance, you must set internal policies that determine: (a) How you will implement the governing policies throughout this part; (b) How you will determine when a relocation is in the best interest of the Government; (c) When you will allow a travel advance for relocation expenses; (d) Who will authorize and approve relocation travel; (e) Under what additional circumstances will you require an employee to sign a service agreement; (f) Who is required to sign a service agreement; and (g) How you will ensure that all relocating employees sign a duplicate reimbursement disclosure statement, which is to be incorporated into their relocation service agreements (see §302-2.21).

2.0 Employee Eligibility Requirements


http://www.gsa.gov/Portal/gsa/ep/channelView.do?pageTypeId=8199&channelId=-16525&specialContentType=FTR&file=FTR/Chapter302p002.html%23wp1119673

ARC Recommendation on the Establishment of Agency Relocation Policy on

Employee Eligibility Requirements: (a) The shared services customer agency approving official and ARC inform the employee about relocation policies and procedures. The approving official must review travel authorizations and vouchers prior to approval to ensure compliance with FTR and agency policy. When an approved “Request for Relocation” is received from the agency, an ARC Relocation Coordinator begins employee entitlement counseling. The FTR recommends agencies offer pre-decision counseling to prospective employees contemplating acceptance of a job. ARC Human Resources customers are provided a vacancy announcement link to a pre-decision counseling document that includes contact information on how to obtain free pre-transfer counseling from the Relocation Services Company (RSC). (ARC can provide this link to non-Human Resources relocation customers in electronic format). (b) Relocation must be in the Government’s Interest – Agencies must consider factors such as cost effectiveness, labor market conditions, availability of local, qualified candidates, and difficulties in filling the position to determine if the relocation is primarily for the benefit of the Government or the employee. The agency must consider and determine if permanent change of station (PCS), temporary change of station (TCS), or long-term TDY is more advantageous to the Government and make decisions that are not arbitrary or capricious. (c) Advance of Funds - An employee may obtain an advance, if authorized, for en route travel, house hunting trip(s), temporary quarters, transportation of storage of household goods (at the commuted rate method), or personal shipment of mobile home.

(c1) Travel Charge Card: FTR 301-70.704, and 301-51.1 state the use of the Government Travel Charge card for most relocation allowances is not required, EXCEPT transferred employees with travel cards MUST use the card for all en route and HHT expenses. New Appointees are not yet employees and do not have a travel card and are automatically exempt from this requirement.

(c2) Direct Deposit: Direct deposit advances are appropriate for temporary quarters due to the need to make timely payments. The approving official informs the employee about specific travel advance situations and must include the approved request for the advance on the travel order.

(d) Approving Official: The shared services customer agency identifies the relocation travel approving official. (e) Service Agreements: Additional reasons requiring a service agreement, as defined in FTR §302-2.12-2.14, are determined by the approving official. The approver is responsible to provide the traveler with guidance regarding their specific situation, approve any conditions, and to coordinate and incorporate the service agreement in the travel order. (f) Service Agreement Monitoring: Any employee authorized a PCS is required to sign a service agreement prior to performing the move. The agency determines if its own Human Resources Department or ARC obtains service agreements from the employee. The agency is responsible to monitor the service agreement, and if applicable, to establish, collect, or write-off a debt stemming from an employee not complying with a service agreement.


http://www.gsa.gov/Portal/gsa/ep/channelView.do?pageTypeId=8199&channelId=-16525&specialContentType=FTR&file=FTR/Chapter302p002.html

(g) Duplicate Reimbursement Disclosure Statement (DRDS): The service agreement on the ARC customer webpage includes the DRDS required by the FTR. The Supreme Court of the United States declared that same-sex marriage is now legal in all 50 states of the United States as of June 26, 2015. Currently, the term “Domestic Partner” applies if the employee is living in a state (other jurisdiction) or foreign country that does not recognize same-sex marriages. The SCOTUS decision now implies that the term “Domestic Partner” will no longer apply to the 50 states since an employee can now marry in those states. For an employee relocating within the U.S. (50 states / non-foreign area) or from the U.S. to a non U.S. location will require a "marriage" to recognize a spouse entitlement since they are now able to marry the same as employees who marry an opposite-sex spouse. For those employees currently living in a foreign location, the term “Domestic Partner” may still apply if those countries don't recognize same-sex marriages. When an employee transfers back to CONUS, they will no longer be considered as a domestic partner for any future non-U.S. relocations, since they transferred to a location that recognizes same-sex marriages. §300.1 What do the following terms mean? Domestic Partnership—A committed relationship between two adults of the same sex, in which they— (1) Are each other's sole domestic partner and intend to remain so indefinitely; (2) Maintain a common residence, and intend to continue to do so (or would maintain a common residence but for an assignment abroad or other employment-related, financial, or similar obstacle); (3) Are at least 18 years of age and mentally competent to consent to contract; (4) Share responsibility for a significant measure of each other's financial obligations; (5) Are not married or joined in a civil union to anyone else; (6) Are not a domestic partner of anyone else; (7) Are not related in a way that, if they were of opposite sex, would prohibit legal marriage in the U.S. jurisdiction in which they reside; (8) Are willing to certify, if required by the agency, that they understand that willful falsification of any documentation required to establish that an individual is in a domestic partnership may lead to disciplinary action and the recovery of the cost of benefits received related to such falsification, as well as constitute a criminal violation under 18 U.S.C. 1001, and that the method for securing such certification, if required, shall be determined by the agency; and (9) Are willing promptly to disclose, if required by the agency, any dissolution or material change in the status of the domestic partnership.

2.1 Same Sex Marriage/Domestic Partnership Certification



Domestic Partnership Certification: ARC recommends creating a certification process for domestic partnerships. Refer to Appendix A of this guide for a Declaration of Domestic Partnership form. Agencies may choose to use this form, create their own, or develop another vehicle for certification.

Subpart F—Agency Responsibilities Note to Subpart F: Use of pronouns “we”, “you”, and their variants throughout this subpart refers to the agency. §302-3.500 What governing policies and procedures must we establish for paying a relocation allowance under this Part 302-3? You must establish how you will implement policies that are required for this part, which include; (a) When you will pay relocation expenses if an employee violates his/her service agreement; (b) When you will authorize separate relocation allowances to an employee and an employee’s immediate family member that are both transferring to the same official station; (c) When you will grant an employee and/or the employee’s immediate family member(s) an extension on beginning separation travel; (d) When you will allow an employee to arrange his/her own relocation upon separation; (e) When you will authorize a temporary change of station (TCS); (f) When you will define an area not to reimburse for a TCS; (g) When you will pay extended storage of household goods for TCS; and (h) What relocation allowances you will and will not pay when an employee is permanently assigned to a temporary duty station.

ARC Recommendation on the Establishment of Agency Relocation Policy on an Allowances by Specific Type:

ARC has policies in place defining reimbursement of relocation allowances for: employee transfers, new appointments, and temporary change of station. Please refer to FTR Part 302-3, Subpart B (http:\\www.gsa.gov), for mandatory allowances in these areas: within the Continental United States (CONUS), outside the Continental United States Non-Foreign (OCONUS/Non Foreign), and outside the Continental United States Foreign (OCONUS/Foreign). (a) Service Agreement: Civilian agency employees relocating using Government funds are required to sign a service agreement committing to one year of employment with the Government (the period of time may vary based on relocation circumstances). If this agreement is not fulfilled, the agency must collect any reimbursed relocation payments. If circumstances that caused an employee to leave are acceptable to the agency (e.g.,

3.0 Relocation Allowance by Specific Type




circumstances beyond employee's control, termination of position, or a critical health issue), the approving official may choose to waive collection of the relocation expenses on a case-by-case basis. (b) Separate Relocation Authorizations 2 Immediate Family Members Relocating for the Government: The approving official may recommend separate relocations for two employees that are immediate family members and are relocating to the same official station. The employees must be relocating on behalf of the Government and provide other circumstances where the approving official can determine that separate relocations may be necessary and in the best interest of the Government. (c) Separation Travel Extensions: The approving official considers the request of an employee (or immediate family member) to extend the beginning date for separation travel and may authorize an extension when the justification is determined to be beyond the employee’s control, reasonable to the agency, or in the interest of the Government. The FTR states an agency may approve an extension for separation travel (§302-1.1 and §302-3.315) not to exceed 2 years from the effective date of separation, or from the date of death if the employee dies before separation. (d) Self-Arranged Relocation at Separation Cost Comparison: The approving official may authorize the employee to arrange his or her own relocation upon separation. The travel order authorizes cost reimbursement based on the GBL method and may not exceed the cost the Government would have incurred to arrange for the shipment. Air transportation for the employee and/or family members must be arranged through the agency TMS as required in FTR §301-50 and meet Government requirements as defined in FTR §301-10.100. (e) Temporary Change of Station (TCS): The approving official may authorize a TCS for an employee who must relocate to fulfill a domestic assignment with a duration lasting between 6 and 30 months. The approving official must perform a cost comparison to determine that a TCS is more cost effective and advantageous to the Government than a PCS. NOTE: An employee assigned to training under the Government Employees Training Act (GETA), 5 U.S.C. § 4109, is not eligible for a TCS. A TCS may be authorized for an employee assigned to long-term temporary duty, and the Government determines it is advantageous to temporarily relocate the employee as opposed to continuing temporary duty travel. The approving official may have additional considerations applicable to making this decision and determines whether these conditions are met on a case-by-case basis. TCS expenses that may be authorized are outlined in the FTR sections 302-3.412 through 302-3.425. The approving official may also choose to provide house hunting trips and temporary quarters for an employee performing a TCS. (f) The agency approving official determines when TCS reimbursements are not authorized. (g) The agency approving official determines if the request for extended storage is in the interest of the agency.





(h) The agency approving official determines which discretionary relocation allowances are approved when an employee is permanently assigned to a temporary duty station based on the employee's needs and FTR allowances. ARC can provide information to assist in this decision.

§302-3.501 Must we establish any specific procedures for paying a relocation allowance to new appointees? Yes, you must establish specific guidelines for paying a relocation allowance to new appointees. These guidelines must establish the: (a) Criteria in accordance with 5 CFR part 572, Travel and Transportation Expenses, on how you will determine if a new appointee is eligible for the relocation allowances authorized therein; and (b) Procedures which will provide new appointees with information surrounding his/her benefits.

ARC Recommendation on the Establishment of Agency Relocation Policy on Allowance to a New Appointee:

ARC established these policies to clearly define reimbursement of relocation allowances for new appointees. Please refer to FTR Part 302-3, Subpart A (http:\\www.gsa.gov), for mandatory CONUS, OCONUS/Non-Foreign, and OCONUS/Foreign items. (a) A new appointee is eligible for relocation allowances if the official vacancy announcement for the position posted by the agency includes relocation allowances. (b) The approving official determines whether a new appointee is eligible to receive reimbursement for a PCS and sends ARC an approved “Request for Relocation” form. ARC provides new appointee counseling for entitlements and other allowances, and coordinates the PCS process. Allowances are based on the FTR and agency policy.

Subpart H—Agency Responsibilities Note to Subpart H: Use of pronouns “we”, “you”, and their variants throughout this subpart refers to the agency, unless otherwise noted. §302-4.700 What governing policies must we establish for payment of allowances for subsistence and transportation expenses? For payment of allowances for subsistence and transportation expenses, you must establish policy and procedures governing: (a) How you will implement the regulations throughout this part;

4.0 Allowances for Subsistence and Transportation



(b) A reasonable minimum driving distance per day that may be more than, but not less than an average of 300 miles per calendar day when use of a POV is used for PCS travel and when you will authorize an exception; (c) Designation of an agency approving official who will authorize an exception to the daily minimum driving distance; and (d) When you will authorize the use of more than one POV for PCS travel.

ARC Recommendation on the Establishment of Agency Relocation Policy on Allowances for Subsistence and Transportation:

(a) ARC provides employee entitlement and discretionary allowance counseling that conforms to FTR and agency policy. ARC prepares the travel order (TO), also known as the travel authorization (TA), listing all FTR and agency policy allowances, and employee needs. ARC submits the authorization to the approving official for signature. An agency determines the mode of transportation based on the rules in FTR Chapter 301. “Your agency must select the method most advantageous to the Government, when cost and other factors are considered. Under 5 U.S.C. 5733, travel must be by the most expeditious means of transportation practicable and commensurate with the nature and purpose of your duties. In addition, your agency must consider energy conservation, total cost to the Government (including costs of per diem, overtime, lost work time, and actual transportation costs), total distance traveled, number of points visited, and number of travelers. (b) Minimum Daily Driving Distance: The number of days authorized for en route travel and per diem is determined by limiting the actual number of days required to travel based on the distance involved. When calculating the number of authorized en route travel days, up to 300 miles traveled qualifies for one day of en route travel. Mileage in excess of 300 miles may qualify the traveler for additional travel days based on the most direct route and driving an average of 300 miles per day. Estimated miles are divided by 300 and rounded up at the half point mark to determine the number of days allowed for en route travel as in this example:

400 Miles driven 400/300 = 1.33 or 1 travel day 500 Miles driven 500/300 = 1.66 or 2 travel days

Exceptions to the average daily driving mileage require specific agency approval per FTR 302-4.401. Examples may include (not limited to) a delay beyond the employee’s control due to an act of God, restrictions by Governmental authorities, or a disability or special need. Reimbursement for mileage is based on the distance each authorized POV is driven on the most direct route, as obtained from the Rand McNally website (http://www.randmcnally.com/_or similar resource. Travelers are reimbursed for actual mileage with up to a 10 percent variance.


http://www.randmcnally.com/

(c) ARC relies on the designated agency point of contact to obtain approval from the appropriate officials to deviate from the required average daily driving distances (see b above). (d) Additional POV Authorization: The agency approving official must authorize and additional POV that is to be driven on the travel order prior to the departure date. Factors such as family size, cost of shipping the POV, and the availability of additional drivers should be taken into consideration by the agency.

Subpart B—Agency Responsibilities Note to Subpart B: Use of pronouns “we”, “you”, and their variants throughout this subpart refers to the agency. §302-5.100 How should we administer the househunting trip expense allowance? You should administer the househunting trip expenses allowance to minimize or avoid its use when other satisfactory and more economical arrangements are available. §302-5.101 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 lump sum 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 302-4 of this chapter to reimburse househunting trip subsistence expenses; and (e) Who will determine the mode(s) of transportation to be used.

ARC Recommendation on the Establishment of Agency Relocation Policy on Allowance for House hunting Trip (HHT) Expenses:

A HHT may be granted to allow a transferred employee and/or spouse time to look for a residence at the new domestic official station (the old and new stations must be 75 miles or more apart when measured by map distance over a usually traveled surface route). The purpose of the HHT is to facilitate and accelerate the employee’s move to a permanent residence, thereby lowering the agency’s overall PCS cost. The employee and spouse are authorized to take separate HHTs if desired. The employee's HHT must be completed prior to reporting to the new official station.

5.0 Allowance for House Hunting Trip Expenses




The HHT allowance is discretionary, and may be authorized by the approving official for transferring employees and/or spouses. Immediate family members, other than the spouse, are never entitled to receive reimbursement for a HHT. New appointees, employees relocating under GETA, and employees returning from an overseas assignment for the purpose of separation are not eligible to receive a HHT. (a) The HHT should be made available to eligible employees, with individual decisions based on what is in the interest of the Government. (b) The HHT request must be authorized and approved on the travel order, before the HHT may begin. (c) An agency may choose either of these HHT reimbursement options: (c) 1. Per Diem/Actual Expense Method: the actual transportation costs plus a per diem allowance at the standard CONUS per diem rate. (c) 2. Lump Sum/Actual Transportation Expense Method: the actual transportation costs plus a per diem allowance at the locality per diem rate. The lump sum reimbursement method simplifies the budgeting process and requires limited expense documentation. ARC recommends customer agencies offer both the Lump Sum/Actual Transportation and the Per Diem/Actual Expense reimbursement methods. ARC can provide assistance to the employee to determine which method to choose, if the shared services customer agency offers both methods. (d) HHT Duration: The approving official may authorize a HHT to an employee and/or spouse who are organizing and conducting a PCS. The total duration of the HHT whether taken together or separately may not exceed 10 consecutive calendar days. The approving official determines the duration of the HHT based on the employee’s request. ARC provides additional guidance to the agency approving official upon request. (e) Mode of Transportation: The approving official must authorize the employee to travel by the mode of transportation (i.e., POV or common carrier) that is most advantageous to the Government. For trips of less than 250 miles, the approving official authorizes travel by POV unless there are reasons acceptable to the agency for not doing so. For trips of 250 miles or more, the approving official authorizes travel by common carrier unless a written cost comparison demonstrates cost savings.


Subpart D—Agency Responsibilities Note to Subpart D: Use of pronouns “we”, “you”, and their variants throughout this subpart refers to the agency. §302-6.301 What governing policies must we establish for the TQSE allowance? You must establish policies and procedures governing: (a) When you will authorize temporary quarters for employees; (b) Who will determine if temporary quarters is appropriate in each situation; (c) If and when you will authorize the lump sum option for TQSE reimbursement; (d) Who will determine the appropriate period of time for which TQSE reimbursement will be authorized, including approval of extensions and interruptions of temporary quarters occupancy; and (e) Who will determine whether quarters were indeed temporary, if there is any doubt.

ARC Recommendation on the Establishment of Agency Relocation Policy on Allowance for Temporary Quarters Subsistence Expenses (TQSE)

The term “temporary quarters” means temporary lodging (from a private or commercial source) that allows an employee time to find a residence at the new official station in the United States, and/or for the immediate family member(s) to obtain accommodations when the old residence is sold prior to the family relocating to the new official station. “Temporary quarter’s subsistence expenses” or “TQSE” are subsistence expenses incurred by an employee and/or immediate family while occupying temporary quarters. The TQSE allowance is intended to reimburse an employee reasonably and equitably for subsistence expenses incurred when it is necessary to occupy temporary quarters. TQSE is discretionary and may be provided for transferring employees and/or immediate family member(s) during the relocation process. New appointees, employees relocating under GETA, and employees returning from an overseas assignment for the purpose of separation are not eligible to receive temporary quarters (TQ). Agencies should consider authorizing GSA FedRooms long term lodging properties as a best practice for cost savings and traveler satisfaction. GSA confirmed the FedRooms program may be used for relocation travel needs. https://www.fedrooms.com/long_term_lodging.html (a) TQ Interest of Government: The approving official may authorize TQ for an employee and immediate family member(s) when it is determined to be in the interest of the Government. The old and new official stations must be 50 miles or more apart (as measured by map distance via a usually traveled surface route), and TQ is justified in connection with an employee’s transfer to a new official station. TQ may be authorized at the old and new official stations at the same time, if necessary. The agency must administer the TQ allowance to minimize or avoid other relocation expenses.

6.0 Allowance for Temporary Quarters Subsistence Expenses



https://www.fedrooms.com/long_term_lodging.html

(b) TQ Distance: The approving official provides direction to the traveler regarding TQ by evaluating the needs of the employee and immediate family member(s), ensuring the distance between the old and new official station is 50 miles or greater, and determining that TQ is in the interest of the Government prior to approving the request. (c) TQ Reimbursement Methods: The agency may reimburse the employee by offering either: (c1) Lump Sum Reimbursement Method - as calculated in the FTR, this method limits TQSE to 30 days at the standard CONUS per diem rate, with no extensions allowed. The employee is not required to file a voucher after occupying TQ with a lump sum payment. However, the agency may require that the employee sign a voucher or other document before paying the lump sum. The agency may at any time request proof that the employee actually occupied TQ. Unless directed by the agency, ARC will not request proof from an employee that TQ was occupied. ARC's standard operating procedure is to prepare a lump sum voucher as soon as the authorization is approved. However, employees electing the lump sum payment must sign a statement, which is included as part of the service agreement, attesting that they will occupy TQ and will incur TQSE. (c2) Actual TQSE Expense Method - initially authorized in 30 days increments up to 60 days. A 30 day extension may be authorized if justified but may not exceed 120 days at the locality per diem rate. Deciding whether or not to offer this method should take into consideration the ease of administration, costs, and treatment of employees. The approving official provides direction to the traveler regarding the method stated on the travel order. If both methods are offered, the employee selects the method they prefer. (d) TQ Duration: The approving official determines the acceptable duration for TQ and approves the authorized amounts on the travel order. The duration of TQ is determined in part by whether or not a HHT is needed. If an extension or interruption of TQ is requested, the ARC Relocation Coordinator works with the employee and the approving official to recommend a solution that is in the interest of the Government. Reasons for an extension or interruption of TQ must be determined as reasonable by the agency, and beyond the control of the employee. Upon receipt of an employee’s request for an extension or interruption of TQ, ARC verifies the request is in agreement with the FTR and the ARC Relocation Guide. The travel order is amended to include with the extension or interruption and is submitted to the approving official for authorization. (e) TQ Occupied: If the employee’s intent to occupy TQ is thought to not be temporary, the approving official must consider the factors as outlined in the FTR §302-6.307



Subpart E—Agency Responsibilities Note to Subpart E: Use of pronouns “we”, “you”, and their variants throughout this subpart refers to the agency. §302-7.400 What policies and procedures must we establish for this part? You must establish policies and procedures as required for this part, including who will: (a) Administer your household goods program; (b) Authorize commuted rate or actual expense for transportation and payment for HHG, PBP&E, and temporary storage; (c) Authorize PBP&E to be transported as an agency administrative expense in accordance with FTR guidelines (usually the authorizing official for PBP&E will be at the employee's new official station); (d) Authorize an employee to ship UAB; (e) Collect any excess cost or charges; (f) Advise the employee on the Government's liability for any personal property damage or loss claims under the Military Personnel and Civilian Employees Claims Act, 31 U.S.C. 3721-3723; (g) Ensure that international HHG shipments by water are made on ships registered under the laws of the United States whenever such ships are available; (h) Authorize temporary storage in excess of the initial 60-day limit for CONUS shipments or 90-day limit for OCONUS shipments; and (i) Ensure pre-payment audits are completed.

ARC Recommendation on the Establishment of Agency Relocation Policy on Transportation and Temporary Storage of HHG and PBP&E:

(a) ARC is responsible for administering the HHG program for the agency. (b) Shipment Methods: The approving official must authorize either the Actual Expense or Commuted Rate method, depending on which is less costly to the Government. The method selected must be specified on the travel authorization. The Commuted Rate method can only be used for shipments within CONUS, and only where it is less costly than Actual Expense method. The ARC policy is to use the Actual Expense method. If other methods are used to transport and store HHG and PBP&E, reimbursement is limited to the actual costs incurred, not to exceed what the Government would have incurred under the method selected by the agency. (c) PBP&E: The approving official provides direction to employees in special situations that may require authorization to ship professional books, papers, and equipment (PBP&E) with HHG. The approving official must determine the shipment of PBP&E is necessary, complies with regulations, is processed as an administrative expense, and is in the interest of the

7.0 Transportation and Temporary Storage of Household Goods (HHG), Professional Books, Papers, and Equipment (PBP&E), and Baggage Allowance



Government. ARC may advise the agency to consider a separate shipment for PBP&E when the shipment exceeds 18,000 pounds net weight. ARC requires the carrier to provide separate inventory lists for PBP&E to enable clear accountability. (d) UAB: The approving official may authorize shipment of UAB per the appropriate customer agency policy. UAB shipments between CONUS locations are not allowed under the FTR. The approving official must ensure constructive costs for HHG and UAB are calculated, and advise the employee that a combined HHG and UAB shipment could result in a personal expense if greater than 18,000 pounds net weight. For agencies with legislative authority for Foreign Affairs Manual (FAM)-like benefits, ARC will continue to process UAB under their Foreign Service Act (FSA) authority unless notified by the agency their internal policy has been changed to adopt the FTR UAB limits. (e) Collection of Excess Costs: The agency collects any excess costs or charges for transportation and/or storage of HHG from the employee. (f) HHG Claims: The employee must process any HHG claim with the carrier under the provisions of the GSA Standard Tender of Service. If the claim is not resolved, ARC is responsible for advising the employee about the Government’s liability for any loss or damage claims as per 31 U.S.C. 3721-3723. (g) United States Registered Ships: ARC only uses GSA scheduled carriers that are required to ensure that international HHG shipments by water are made on ships registered under the laws of the United States, whenever such ships are available. (h) Extension of Temporary Storage: To obtain an extension for temporary storage [storage in transit (SIT)], the employee must provide a written request to the approving official. This must be done before the initial 60 days for CONUS to CONUS shipments expire, or before the initial 90 days for shipments that include an OCONUS origin or destination expire. Extension durations are subject to FTR limitations. (i) Prepayment Audits: ARC performs prepayment audits for shared service relocation customers. Those customers that process their own relocations payments are responsible for their own agency contract for prepayment audits.


Subpart E—Agency Responsibilities Note to Subpart E: Use of pronouns “we”, “you”, and their variants throughout this subpart refers to the agency. §302-8.400 What policies must we establish for the allowance for extended storage of HHG? You must establish policies and procedures governing this part including: (a) When you will authorize payment; (b) Who will determine whether payment is appropriate; (c) How and when reimbursements will be paid; (d) Which locations meet the criteria of this part for isolated official station at which conditions exist for allowing extended storage at Government expense for some or all employees; (e) Who will determine the duration and place of extended storage.

ARC Recommendation on the Establishment of Agency Relocation Policy on Allowances for Extended Storage of HHG:

(a) Agencies must establish a process for determining what duty stations or locations may require extended storage (non-temporary storage) of HHG under FTR provisions. The agency’s approving official may authorize extended storage of HHG based on FTR and other regulations. (b) The approving official determines if a request for extended (non-temporary) storage is appropriate based on the FTR, (e.g., tour length). (c) Procedures for the payment of third-party invoices for extended storage of HHG are determined between the agency and ARC, based on the customer agency/ARC payment processes involved. Prompt Payment Act requirements apply. (d) The agency’s approving official determines if a location meets the criteria to be considered an isolated official station, and whether or not reasonable conditions exist to allow extended storage of HHG at Government expense. (e) The approving official informs the employee when extended storage may be authorized. The ARC HHG program administrator works with the employee to determine the duration and location of extended storage. The authorization must indicate the duration of the extended storage. Any extension requires approval by the agency. The agency should define funding closure based on completion of tour, possible extension on tour, etc.

8.0 Allowances for Extended Storage of Household Goods (HHG)



Subpart F—Agency Responsibilities

Note to Subpart F: Use of pronouns “we”, “you”, and their variants throughout this subpart refers to the agency. §302-9.603 What governing policies must we establish for the allowances for transportation and emergency storage of a POV? You must establish policies governing: (a) When you will authorize transportation and emergency storage of a POV; (b) When you will authorize transportation of a replacement POV; (c) Who will determine if transportation of a POV to or from a post of duty is in the interest of the Government; (d) Who will determine if conditions have changed at an employee’s post of duty to warrant transportation of a POV in the interest of the Government; (e) Who will determine if transportation of a POV wholly within CONUS is more advantageous and cost effective than having the employee drive the POV to the new official station; and (f) Who will determine whether to allow emergency storage of an employee’s POV, including where to store the POV.

ARC Recommendation on the Establishment of Agency Relocation Policy on Allowances for Transportation and Emergency Storage of a POV:

(a) The approving official may authorize transportation of a POV if the shipment is determined to be advantageous and cost effective to the Government. The POV must be in operating order and legally titled and tagged for driving. The shipping distance must be greater than 600 miles. (a1) CONUS Shipments: For shipments within CONUS, up to two POVs may be authorized. (a2) OCONUS Shipments: For shipments involving OCONUS locations, only one POV may be transported at Government expense. Emergency storage of a POV may be recommended by the approving official in cases of natural disasters, circumstances beyond the traveler’s control that require immediate evacuation of the employee and his or her immediate family, or any other special situation that is determined reasonable and in the best interest of the Government. (b) The approving official may authorize the transportation of a replacement POV if the situation complies with FTR requirements. (c) The approving official may authorize transportation of a POV. If requested, ARC performs a cost-benefit analysis to determine if the shipment of the vehicle is advantageous to the Government. The approving official informs the traveler of the results of the analysis. (d) The approving official informs the traveler whether or not the change in circumstances at the new duty station makes transportation of a POV in the interest of the Government. The approving official must consider FTR requirements, all factors affecting costs, and special

9.0 Allowances for Transportation and Emergency Storage of a Privately Owned Vehicle



circumstances related to the relocation when making this decision. ARC can provide assistance in reviewing FTR requirements and cost factors. (e) The approving official determines whether or not transportation of a POV, (as opposed to driving the POV to the new official station in CONUS), is in the interest of the Government. The approving official follows FTR requirements and all factors affecting costs and special circumstances related to the relocation when making this decision. (f) The approving official determines if emergency storage of a POV is authorized. Emergency storage can be authorized during a natural disaster, circumstances beyond the traveler’s control that require immediate evacuation of the employee and his or her immediate family, or any other special situation deemed reasonable and in the interest of the Government. The ARC HHG program administrator works with the agency approving official and carrier to determine the duration and location of emergency POV storage.

Subpart E—Agency Responsibilities Note to Subpart E: Use of pronouns “we”, “you”, and their variants throughout this subpart refers to the agency. §302-10.400 What policies must we establish for authorizing transportation of a mobile home? You must establish policies for authorizing transportation of a mobile home that implements this part including when: (a) It is considered in the best interest of the Government to assume direct responsibility for preparing and transporting an employee’s mobile home; (b) To authorize an advance of funds for a commercial carrier transporting an employee’s mobile home based on constructive or estimated cost when the employee assumes direct responsibility for payment.

ARC Recommendation on the Establishment of Agency Relocation Policy on Allowances for Transportation of Mobile Homes and Boats Used as a Primary

Residence: (a) Employees are entitled to transportation of a mobile home or boat in lieu of transportation of household goods, only if the employee certifies the mobile home is used as the primary residence at the new official station. If this option is chosen, the employee may NOT be reimbursed for shipment of HHG. Instead, the employee may be reimbursed for transportation of a mobile home, not to exceed the expense the Government would have incurred for shipping 18,000 lbs. of HHG and 90-days of temporary storage.

10.0 Allowances for Transportation of Mobile Homes and Boats Used as a Primary Residence



The approving official determines if transportation of a mobile home is in the interest of the Government by following FTR requirements. ARC can assist by arranging for a carrier to inspect the property and provide an estimate of costs. ARC can also advise the employee about the risks of moving a mobile home, and the potential damages and extra costs. (b) An advance of funds may be granted for this purpose, but must not exceed the estimated allowable amount in (a) above.

Subpart E—Agency Responsibilities Note to Subpart E: Use of pronouns “we”, “you”, and their variants throughout this subpart refers to the agency. §302-11.400 What policies and procedures must we establish? You must establish internal policies and procedures to implement this part.

ARC Recommendation on the Establishment of Agency Relocation Policy on Allowances for Expenses Incurred in Connection With Residence Transactions:

Direct reimbursement is a mandatory entitlement for transferring employees; however, ARC encourages the agency to include the option of using a Relocation Services Company (RSC) for the reasons identified in Section 12. §302-11.401 Under what conditions may we authorize or approve a residence transaction expense allowance? You may authorize or approve a residence transaction expense allowance when an employee is performing a permanent change of station in the interest of the Government and has signed a service agreement (other than a new appointee or an employee assigned under the Government Employees Training Act (5 U.S.C. 4109.); and (a) The old and new official stations are located in the United States; or (b) The employee has completed an agreed upon tour of duty overseas and is returning to the United States to an official station that is at least 50 miles away from the employees last official station in the United States; or (c) When the employee has been permanently assigned to a temporary duty station.

ARC Recommendation on the Establishment of Agency Relocation Policy on the Conditions Which to Authorize a Residence Transaction Expense Allowance:

(a-c) The agency’s approving official must ensure the appropriate FTR requirements are met before authorizing a reimbursement for residence transactions (see FTR §302-11.2). ARC can provide research and information upon request.

11.0 Allowances for Expenses Incurred in Connection With Residence Transactions



§302-11.402 Who is not eligible to receive residence transaction expense allowances? The following are not eligible to receive residence transaction expense allowances: (a) New appointees; and (b) Employees assigned under the Government Employee’s Training Act (5 U.S.C. 4109).

ARC Recommendation on the Establishment of Agency Relocation Policy on the Eligibility to Receive Transaction Expense Allowances:

(a-b) The agency’s approving official must identify employees that are not qualified for residence transactions according to the FTR. ARC can provide research and information upon request. §302-11.403 What policies must we establish before accepting documentation from an employee for reimbursement of residence transaction expenses? You must establish policies that will define what documentation is acceptable from an employee when requesting reimbursement of residence transaction expenses.

ARC Recommendation on the Establishment of Agency Relocation Policy on Acceptable Documentation for Reimbursement of Residence Transaction Expenses:

ARC, in conjunction with the agency’s approving official, reviews and determines the acceptability of residence transactions supporting documentation. .

§302-11.404 What controls must we establish for paying allowances for expenses incurred in connection with residence transactions? When paying allowances for expenses incurred in connection with residence transactions, you must: (a) Determine who will authorize and approve residence transactions expenses on the employee’s travel authorization; (b) Determine who will review applications for reimbursement of residence transaction expenses; (c) Determine who will authorize extensions beyond the 1-year limitation for completing sales and purchase or lease termination transactions, under §§302-11.420 and 302-11.421; (d) Prescribe a claim application form, which meets your internal administrative requirements; (e) Require employees to submit a travel claim with appropriate documentation to support his/her payment of the expenses claimed, which must include as a minimum; (1) The sales agreement, (2) The purchase agreement, (3) Property settlement documents, (4) Loan closing statements, and (5) Invoices or receipts for other bills paid; and (f) Require employees to submit travel claims to his/her old official station for review and approval of the claim unless agency review and approval functions are performed elsewhere except as provided in §302-11.405.






Controls for Paying Allowances for Expenses Incurred in Connection With Residence Transactions:

(a) The agency’s designated approving official authorizes residence transaction expenses. (b) ARC reviews applications for reimbursement of residence transaction expenses. (c) The agency’s designated approving official may authorize an extension for up to one additional year, to the initial one year requirement to claim residence transactions – but only for reasons beyond the employee's control and acceptable to the agency. (d-f) ARC provides guidance on required documentation. If the employee uses direct reimbursement, ARC prepares and reviews reimbursement vouchers. If the employee uses the Guaranteed Home Sale (GHS) program, vendor invoices must be supported by appropriate documentation. Employees are required to submit requests to the ARC coordinator, who provides guidance on the required documentation. §302-11.405 Which agency must review and approve the employee’s application when the employee transfers between agencies? The hiring agency in the locality of the employee’s old official station must review and approve the employee’s application when the employee transfers between agencies, unless the hiring agency does not have an appropriate installation there. In that case, the losing agency at the old official duty station must review and approve the expenses.

ARC Recommendation on the Establishment of Agency Relocation Policy on Review and Approval of the Employee’s Application When Transferring Between

Agencies: The agency must follow FTR requirements. Once notified by the agency, ARC prepares and provides authorizations to the agency for review and approval. §302-11.406 How must we administer an employee’s claim? To administer an employee’s claim: (a) You must: (1) Review the employee’s claim to determine whether the expenses claimed are reasonable in amount and customarily paid by the buyer/seller in the locality where the property is located; (2) Disallow any portion of the employee’s claim that is inflated or are higher than normal for similar services in the locality; (3) Execute final administrative approval of payment of a claim by an appropriate agency approving official; and (4) Return disapproved applications to the employee with a memorandum of explanation. (b) The approving official must determine if: (1) The aggregate amount of expenses claimed in connection with a sale or purchase of a residence is within the prescribed limitation for either;


(2) All conditions and requirements under which allowances may be paid have been met; and (3) The expenses themselves are those, which are reimbursable. Note to §302-11.406: You must not pay the expenses listed in §302-11.202 or §302-11.304.

ARC Recommendation on the Establishment of Agency Relocation Policy on Administering an Employee Claim:

(a.1-a.3) The agency must follow FTR requirements. ARC prepares all documentation based on employee input. If in compliance to the FTR, ARC submits claims to the designated agency contact for approval by the appropriate official. §302-11.407 What documentation must we require the employee to submit before paying residence transaction expenses? Before paying residence transaction expenses, you must require the employee to submit: (a) A copy of his/her financial documents, which prove that only the employee, and/or a member(s) of the immediate family made payments on the property; (b) A copy of his/her financial documents, which prove that he/she and/or a member(s) of the immediate family received all, proceeds from the sale of the property; (c) Documentation that is acceptable by you in verifying any interest that the employee has in the property; and (d) Any additional documents that you need to verify payments.

ARC Recommendation on the Establishment of Agency Relocation Policy on Documentation Required by the Employee to Submit Before Paying Residence

Transaction Expenses: (a-d) The agency must follow FTR requirements. ARC, in cooperation with the agency’s approving official, determines the acceptability of the documentation.





Subpart B—Agency’s Use of a Relocation Services Company Note to Subpart B: Use of pronouns “we”, “you”, and their variants throughout this subpart refers to the agency. §302-12.114 What policies must we establish when offering our employees the services of a relocation services company? If you choose to offer the services of a relocation services company to your employees, you must establish policies governing: (a) The conditions under which you will authorize an employee to use the contract with the relocation services company; (b) Which employees you will allow to use the contract with the relocation services company; (c) Which services the relocation services company will provide to the employee; (d) Who will determine in each case if an employee may use the contract with the relocation services company and which services the relocation services company will provide; (e) How you will monitor and evaluate the counseling provided by you and/or the relocation services company to your employees; and (f) How you will monitor and maintain an appropriate balance between the three types of homesale transactions in your homesale programs (appraised value, buyer value option, and amended value).

ARC Recommendation on the Establishment of Agency Relocation Policy for Using Relocation Services Company (RSC):

(a) Per FTR §302-12.105, agencies without a home sale services (HSS) program are required to examine and evaluate objectives and costs at least once every two years to see if a HSS program is needed. ARC can assist in gathering data for this purpose. ARC recommends using a Relocation Services Company (RSC) with aggressive marketing. It is in the best interest of the employee and agency to market the residence as soon as possible. The agency should encourage the employee to continue marketing his/her residence to maximize the benefit to the agency and the employee – leading to an amended value sale as opposed to an appraised value sale, in the HSS program. To control costs, the agency may consider establishing a home value cap based on requirements set by the FTR. Within the HSS program, an agency may also choose between Full Choice Guaranteed Buyout and Managed Guaranteed Buyout programs along with mortgage payoff and mortgage services. Most agencies have their plan structured as a Full Choice program, but may want to consider the managed program given the real estate market climate and budget constraints. ARC recommends mortgage payoff when available. ARC is available to assist in providing information on pricing and other considerations.

12.0 Relocation Services Company (RSC)



In addition to the HSS program, a variety of Buyer Value Option (BVO) programs are available. Before deciding on a BVO program, the agency needs to consider if a BVO program is properly structured and the resulting tax consequences. The benefits for the transferring employee include equity access, tax protection, access to experienced real estate experts for home sale at the old and new official station, integrated mortgage finance assistance, and expedited settlement into the new location. Agency benefits include increasing the productivity at the new official station in a shorter timeframe, improving transferee satisfaction, reducing administrative burden, and eliminating the tax gross-up on the home sale portion of the relocation. (b) All employees that qualify for the HSS program are considered eligible. (c) All home sale and other services available are provided to eligible employees as needed (e.g. rental assistance and property management). (d) The agency’s approving official determines whether an employee may use a relocation services company and what services are offered. (e) Employees are required to participate in home sale counseling when using the RSC. ARC ensures its HSS vendor processes meet the counseling requirement. Both ARC and the RSC request employees complete surveys on services received and monitor responses. An agency may require employees to participate in home sale counseling before listing their homes, if written in the agency's internal policy. Any employee who lists his/her home before the travel authorization is approved is excluded from using the home sale program. (f) Once an agency has a RSC contract, the agency must monitor cost and tax consequences, and make adjustments necessary to ensure that the home sale program continues to provide the same best value to the Government. ARC is looking at ways to support our customers in this area such as providing data to analyze in connection with the ongoing monitoring requirement.

13.0 SECTION INTENTIONALLY LEFT BLANK


Subpart B—Agency Responsibilities Note to Subpart B: Use of pronouns “we”, “you”, and their variants throughout this subpart refers to the agency. §302-14.101 What policies must we establish to govern our home marketing incentive payment program? You must establish policies to govern: (a) The conditions under which you will authorize a home marketing incentive payment for an employee; (b) The amount of the home marketing incentive payment(s) you will offer (or) the method you will use to compute your home marketing incentive payments); and (c) Who will determine in each case whether a home marketing incentive payment is authorized?

ARC Recommendation on the Establishment of Agency Relocation Policy on Home Marketing Incentive Payments:

(a) Some agencies offer a home marketing incentive payment to encourage employees to participate in the Guaranteed Home Sale program and aggressively market his/her home. The home marketing incentive is an option available as a discretionary item and should only be considered if it is likely to reduce the overall relocation costs. Items to consider in establishing a home marketing incentive plan include mandatory marketing periods, list price guidelines, closing requirements, and residence value caps. The agency’s approving official may authorize a home marketing incentive payment if the property qualifies for the home sale program and the employee agrees to actively marketing his/her residence. If the home marketing incentive program is used, employees should be encouraged to market his/her residence as soon as possible. (b) The home marketing incentive program must comply with FTR requirements. ARC is available to provide additional guidance upon request. (c) The agency’s approving official determines if a home marketing incentive payment is authorized, based on the agency’s policy. ARC can provide guidance upon request.

14.0 Home Marketing Incentive Payments (HMIP)



Subpart B—Agency Responsibilities Note to Subpart B: Use of pronouns “we”, “you”, and their variants throughout this subpart refers to the agency. §302-15.70 What governing policies must we establish for the allowance for property management services? You must establish policies and procedures governing: (a) When you will authorize payment for property management services for an employee who transfers in the interest of the Government; (b) When it is appropriate to authorize this service on a reimbursable basis to the employee, rather than paying the property management company directly, as long as any reimbursement is equal to or less than the agency negotiated rate for this service (agencies may require that employees hire only licensed and/or certified property managers). (c) Who will determine, for relocations to official stations in the United States, whether payment for property management services is more advantageous and cost effective than sale of an employee’s residence at Government expense; (d) If and when you will allow an employee who was offered and accepted payment for property management services to change his/her residence at Government expense in accordance with paragraph (e) of this section; and (e) How you will offset expenses you have paid for property management services against payable expenses for sale of the employee’s residence when an eligible employee who elected payment for property management services later changes his/her mind and elects instead to sell his/her residence at Government expense.

ARC Recommendation on the Establishment of Agency Relocation Policy on Allowance for Property Management Services:

(a) The agency should authorize payment for property management when it results in an overall cost savings or relieves the employee of the cost of maintaining a residence while stationed at a remote or foreign post, or other circumstances acceptable to the agency. (b) The agency's approving official must perform a cost comparison to limit direct employee reimbursement to that of property management fees. (c) The agency’s approving official determines whether payment is advantageous and cost effective to the agency. ARC can assist in gathering cost comparisons upon request. (d) The agency is responsible for reviewing the reasons for changing from property management to the selling of a residence and making a decision based on costs and the particular circumstances. The employee must provide a justification for such a request. (e) The agency's approving official evaluates the expected costs projected to be incurred for property management services versus the estimated costs for sale of a residence.

15.0 Allowance for Property Management Services




Subpart C—Agency Responsibilities

Note to Subpart C: Use of pronouns “we”, “you”, and their variants throughout this subpart refers to the agency. §302-16.200 What governing policies must we establish for MEA? For MEAs, you must establish policies and procedures governing: (a) Who will determine whether payment for an amount in excess of the flat MEA is appropriate; and (b) How you will pay a MEA in accordance with §§302-16.3 and 302-16.4.

ARC Recommendation on the Establishment of Agency Relocation Policy on Allowance for Miscellaneous Expenses:

The agency must allow $650 to a transferring employee relocating without family and $1,300 to an employee traveling with family as a Miscellaneous Expense Allowance (MEA). (a) For amounts in excess of the $650 (employee), or $1,300 (family) MEA, ARC advises the employee about eligible expenses and FTR receipt requirements. The FTR provides discretionary authority to an agency to authorize amounts in excess of FTR MEA amounts in certain circumstances approved by an agency. . (b) Payment requests are reviewed and processed based on FTR requirements. The flat rate MEA is generally processed along with the en route travel voucher. If the amount is in excess of the flat rate(s), additional documentation and review is required (e.g. bills, receipts to support cost in excess of flat rates).

16.0 Allowance for Miscellaneous Expenses (MEA)





Appendix A - Declaration of Domestic Partnership Form DOMESTIC PARTNER means a person in a Domestic Partnership with an employee of the same sex. DOMESTIC PARTNERSHIP means a sole, committed relationship between an employee and Domestic Partner who are of the same sex that meets all of the requirements below. For the purpose of obtaining applicable travel and/or relocation benefits under the Federal Travel Regulation (FTR), the Foreign Affairs Manual (FAM), and the Department of State Standardized Regulations (DSSR), _________________________________________ and _______________________________________ declare Name of Employee (Please print) Name of Domestic Partner (Please Print) that we:

1. Are in a Domestic Partnership and intend to remain so indefinitely; 2. With regard to a common residence;

a. Have a common residence and intend to continue the arrangement; or b. Have had a common residence and intend to resume having a common residence after an

assignment abroad for which the Domestic Partner did not accompany the employee; or c. Would have a common residence, but are prevented from having one for reasons described by the

employee, and the employing Agency Head, or his or her designee, determines that the circumstances described are sufficient to justify the Waiver of the common residence requirement. Unless and until such a determination is made, the Domestic Partnership does not qualify for benefits and obligations under the aforementioned regulations.

3. Are at least 18 years of age and mentally competent to consent to contract; 4. Share responsibility for a significant measure of each other's financial obligations; 5. Are not married or joined in a civil union to, or legally separated from, anyone else; 6. Are not a Domestic Partner of anyone else; 7. Are not related in a way that, if we were of opposite sexes, would prohibit legal marriage in the U.S.

jurisdiction in which we reside; 8. Understand that the Domestic Partner will be held to the aforementioned regulations that apply to

immediate family members of the employee, including standard of conduct rules; 9. Understand that willful falsification of any documentation required to establish a Domestic Partnership may

lead to disciplinary action and the recovery of the cost of benefits received related to such falsification, as well as constitute a criminal violation under 18 U.S.C. 1001;

10. Are willing to disclose to the employee's Agency Head, or his or her designee, any dissolution or material change in the status of the Domestic Partnership (including death of either the employee or Domestic Partner) not later than 30 days after we no longer meet the definition of Domestic Partnership; and

11. Understand that the employing agency may act on notification, of the dissolution of the Domestic Partnership, given by either the employee or Domestic Partner.

________________________________________________ _______________________ Signature of Employee Date Signed ________________________________________________ _______________________ Signature of Domestic Partner Date Signed You must file this form with your current employing agency's Human Resource office and a copy must be filed with your travel order and any other related benefits.

March 2011

Declaration of Domestic Partnership

A-1

arc relocation guide · april 10, 2015 - “supplementary information (b) - summary of comments...

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