For

Travel on a Government aircraft

Acceptance of payment from a non-Federal source for travel expenses.

NOTE TO $301-71.203: You should consider limiting the levels of approval to the lowest level of management.

§301-71.204 Within how many cal

endar days after the submission of a proper travel claim must we reimburse the employee's allowable expenses?

You must reimburse the employee within 30 calendar days after the employee submits a proper travel claim to the agency's designated approving office. You must use a satisfactory recordkeeping system to track submission of travel claims. For example, travel claims submitted by mail, in accordance with agency policy, could be annotated with the time and date of receipt by the agency. You could consider travel claims electronically submitted to the designated approving office as submitted on the date indicated on an e-mail log, or on the next business day if submitted after normal working hours. However, claims for the following relocation allowances are exempt from this provision:

(a) Transportation and storage of household goods and professional books, papers and equipment;

(b) Transportation of mobile home; (c) Transportation of a privately owned vehicle;

(d) Temporary quarters subsistence expense, when not paid as lump sum; (e) Residence transaction expenses; (f) Relocation income tax allowance; (g) Use of a relocation services company;

(h) Home marketing incentive payments; and

(i) Allowance for property management services.

§301-71.206 What must we do if we disallow a travel claim?

You must:

(a) Pay the employee the amount of the travel claim which is not in dispute;

(b) Notify the employee that the claim was disallowed with a detailed explanation of why; and

(c) Tell the employee how to appeal the disallowance if he/she desires an appeal, and your process and schedule for deciding the appeal.

8301-71.207 What internal policies and procedures must we establish for travel reimbursement?

You must establish policies and procedures governing:

(a) Who are the proper officials to review, approve, and certify travel claims (including travel claims requiring special authorization);

(b) How an employee should submit a travel claim (including whether to use a standard form or an agency form and whether the form should be written or electronic);

(c) When you will exempt employees from the requirement for a receipt;

(d) Timeframes for employee to submit a claim (see § 301–52.7);

(e) Timeframe for agency to pay a claim (see § 301-71.204);

(f) Process for disallowing a claim; and

(g) Process for resolving a disallowed claim.

8301-71.208 Within how many calendar days after submission of a proper travel claim must we notify the employee of any errors in the claim?

You must notify the employee as soon as practicable after the employee's submission of the travel claim of any error that would prevent payment within 30 calendar days after submission and provide the reason(s) why the claim is not proper. However, not later than May 1, 2002, you must achieve a maximum time period of seven working days for notifying an employee that his/her travel claim is not proper. [FTR Amdt. 92, 65 FR 21366, Apr. 21, 2000]

§301-71.209 Must we pay a late pay

ment fee if we fail to reimburse the employee within 30 calendar days after receipt of a proper travel claim?

Yes, a late payment fee, in addition to the amount due the employee, must be paid for any proper travel claim not reimbursed within 30 calendar days of submission to the approving official. [FTR Amdt. 92, 65 FR 3057, Jan. 19, 2000] §301-71.210 How do we calculate late payment fees?

Late payment fees are calculated either by:

(a) Using the prevailing Prompt Payment Act Interest Rate beginning on the 31st day after submission of a proper travel claim and ending on the date on which payment is made; or

(b) A flat fee, of not less than the prompt payment amount, based on an agencywide average of travel claim payments; and

(c) In addition to the fee required by paragraphs (a) and (b) of this section, you must also pay an amount equivalent to any late payment charge that the card contractor would have been able to charge had the employee not paid the bill. Payment of this additional fee will be based upon the effective date that a late payment charge would be allowed under the agreement between the employee and the card contractor.

[FTR Amdt. 92, 65 FR 21366, Apr. 21, 2000]

8301-71.211 Is there a minimum amount the late payment fee must exceed before we will pay it?

Yes, a late payment fee will only be paid when the computed late payment fee is $1.00 or greater.

[FTR Amdt. 90, 65 FR 3058, Jan. 19, 2000]

8301-71.212 Should we report late payment fees as wages on a Form W-2? No, the Internal Revenue Service (IRS) has determined that the late payment fee is in the nature of interest (compensation for the use of money).

[FTR Amdt. 90, 65 FR 3058, Jan. 19, 2000]

§301-71.213 Is the additional fee, which is the equivalent to any late payment charge that the card contractor would have been able to charge had the employee not paid the bill, considered income?

Yes, you must report this late payment fee as additional wages on Form W-2.

[FTR Amdt. 90, 65 FR 3058, Jan. 19, 2000] §301-71.214 Does mandatory use of the Government contractor-issued travel charge card change the employee's obligation to pay his/her travel card bill by the due date?

No, mandatory use of the Government contractor-issued travel charge card does not relieve the employee of his/her obligation to honor his/her cardholder payment agreement.

[FTR Amdt. 90, 65 FR 3058, Jan. 19, 2000]

Subpart D-Accounting for Travel Advances

8301-71.300 What is the policy governing the use of travel advances?

You should minimize the use of cash travel advances. However, you should not require an employee to pay travel expenses using personal funds unless the employee has elected not to use alternative resources provided by the Government, such as a Government contractor-issued charge card.

8301-71.301 For how long may we issue a travel advance?

You may issue a travel advance for a reasonable period not to exceed 45 days.

§301-71.302 What data must we capture in our travel advance accounting system?

You must capture the following data: (a) The name and social security number of each employee who has an advance;

(b) The amount of the advance; (c) The date of issuance; and

(d) The date of reconciliation for unused portions of travel advances.

[63 FR 15974, Apr.1, 1998; 63 FR 35538, June 30, 1998]

§ 301-71.303 Are we responsible for ensuring the collection of outstanding travel advances?

Yes.

§301-71.304 When must an employee

account for a travel advance?

An employee must account for an outstanding travel advance each time a travel claim is filed. If the employee receives a travel advance but determines that the related travel will not be performed, then the employee must inform you that the travel will not be performed and repay the advance at that time.

§301-71.305 Are there exceptions to collecting an advance at the time the employee files a travel claim? Yes, when the employee is in a continuous travel status and

(a) You review each outstanding travel advance on a periodic basis (the period will be for a reasonable time of 45 days or less); and

(b) You determine the amount, if any, of the outstanding balance exceeds the amount of estimated travel expenses for the authorized period and collect the excess amount from the employee.

§301-71.306 How do we collect the

amount of a travel advance in excess of the amount of travel expenses substantiated by the employee?

When the outstanding advance exceeds what you owe the employee, then the employee must submit cash or a check for the difference in accordance with your policy. Your failure to collect the amount in excess of substantiated expenses will cause a violation of the accountable plan rules contained in the Internal Revenue Code (title 26 of the United States Code).

§301-71.307 What should we do if the employee does not pay back a travel advance when the travel claim is filed?

You should take alternative steps to collect the debt including:

(a) Offset against the employee's salary, a retirement credit, or other amount owed the employee;

(b) Deduction from an amount the Government owes the employee; or

(c) Any other legal method of recovery.

§301-71.308 What internal policies and procedures must we establish governing travel advances?

Accounting for cash advances for travel, recovery, and reimbursement shall be in accordance with procedures prescribed by the General Accounting Office (see General Accounting Office Policy and Procedures Manual for Guidance of Federal Agencies, Title 7, Fiscal Procedures).

PART 301-72-AGENCY RESPONSIBILITIES RELATED TO COMMON CARRIER TRANSPORTATION

Subpart A-Procurement of Common Carrier Transportation

Sec.

301-72.1 Why is common carrier presumed to be the most advantageous method of transportation?

301-72.2 May we utilize methods of transportation other than common carrier (e.g. POVS, chartered vehicles, etc.)? 301-72.3 What method of payment must we authorize for common carrier transportation?

Subpart B-Accounting for Common
Carrier Transportation

301-72.100 What must my travel accounting system do in relation to common carrier transportation?

301-72.101 What information should we provide an employee before authorizing the use of common carrier transportation? Subpart C-Cash Payments for Procuring Common Carrier Transportation Services 301-72.200 Under what conditions may we

authorize cash payments for procuring common carrier transportation services? 301-72.201 What must we do if an employee uses cash in excess of the $100 limit to purchase common carrier transportation?

301-72.202 Who may approve cash payments in excess of the $100 limit? 301-72.203 When may we limit traveler reimbursement for a cash payment?

301-72.204 What must we do to minimize the need for a traveler to use cash to procure common carrier transportation services?

Subpart D-Unused, Partially-Used, Exchanged, Canceled, or Oversold Common Carrier Transportation Services

301-72.300 What procedures must we establish to collect unused, partially used, and exchanged tickets?

301-72.301 How do we process unused, partially used, and exchanged tickets?

AUTHORITY: 5 U.S.C. 5707; 31 U.S.C. 3726; 40 U.S.C. 486.

SOURCE: 63 FR 15976, Apr. 1, 1998, unless otherwise noted.

Subpart A-Procurement of Common Carrier Transportation §301-72.1 Why is common carrier presumed to be the most advantageous method of transportation?

Travel by common carrier is presumed to be the most advantageous method of transportation because it generally results in the most efficient, least costly, most expeditious means of transportation and the most efficient use of energy resources.

§301-72.2 May we utilize methods of transportation other than common carrier (e.g. POVs, chartered vehicles, etc.)?

Yes, but only when use of common carrier transportation:

(a) Would interfere with the performance of official business;

(b) Would impose an undue hardship upon the traveler; or

(c) When the total cost by common carrier would exceed the cost of the other method of transportation.

8301-72.3 What method of payment

must we authorize for common carrier transportation?

You must authorize one or more of the following as appropriate:

(a) GSA's Government contractorissued individually billed charge card(s);

(b) Agency centrally billed or other established accounts;

(c) Cash payments (personal funds or travel advances in the form of travelers checks or authorized ATM cash withdrawals) when the cost of transportation is less than $100, under §30151.100 of this chapter (cash may or may not be accepted by the carrier for the purchase of city pair fares); or

(d) GTR(s) when no other option is available or feasible.

[63 FR 15976, Apr. 1, 1998; 63 FR 35538, June 30, 1998]

Subpart B-Accounting for Common Carrier Transportation

§301-72.100 What must my travel accounting system do in relation to common carrier transportation?

Your system must:

(a) Authorize the use of cash in accordance with §301-51.100 or as otherwise required;

(b) Correlate travel data accumulated by your authorization and claims accounting systems with common carrier transportation documents and data for audit purposes;

(c) Identify unused tickets for refund; (d) Collect unused, partially used, or downgraded/exchanged tickets, from travelers upon completion of travel; (e) Track denied boarding compensation from employees;

(f) Identify and collect refunds due from carriers for overpayments, or unused, partially used, or downgraded/exchanged tickets; and

(g) Reconcile all centrally billed travel expenses (e.g. airline, lodging, car rentals, etc.) with travel authorizations and claims to assure that only authorized charges are paid.

8301-72.101 What information should

we provide an employee before authorizing the use of common carrier transportation?

You should provide the employee:

(a) Notice that he/she is accountable for all tickets, GTRS and other transportation documents;

(b) Your procedures for the control and accounting of common carrier transportation documents, including the procedures for submitting unused, partially used, downgraded/exchanged tickets, refund receipts or ticket refund applications, and denied boarding compensation; and

(c) A credit/refund address so the carrier can credit/refund the agency for unused tickets (when the tickets have been issued using an agency centrally billed account or by GTR).