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B-190764 1 (1978-04-14)

handle is hein.gao/gaobadfxk0001 and id is 1 raw text is: 
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FILE:  B-l9O76


MATTER    3F;   David D. Lombardo - Forfeiture of Deposit
                on House Purchase


DI1EST:


Employee who forfeited $4,000 of a deposit
in return for release from a binding con-
tract for the purchase of a new home at
his old duty station after receiving
notice of a transfer, may be reimbursed
forfeited amount as a misdellaneous ex-
penne to the extent authorized under
para. 2-3.3b of the FTR.


     We ..ave been requested by Victoria Curtin, Passenger Taffic
.Office, the Library of Congress, to render a decision as to
whether David D. Lombardo, an employee of the Library of Congress,
can  be reimtursed $4,000 which represents the amount he paio
to  be releas4d from a binding contract for the purchase of a new
home.

      Wt. Lombardo was employed by the Library of Congress and
 officially stationed itn New York. He sold the co-op apartment
 where he and his family resided and move2 in temporarily with
 his Wiae's parents pending the purchase of a new homn.

      On November 29, 1976, Mr. Lombardo and his wife contracted
 to purchase a new home in Merrick, New York, and paid the
 builder $6,800.as a down payment on the house. On December 17,
 1976, 4 days before scheduled settlemnt on the house,
 MW. Lombardo was offered the position of Recruitment and Placement
 Officer inWashington, D.C. After negotiations, the builder
 agreed to release tha Lomblrdos from their obligation to purchase
 the house and the Lombardos agreed to forfeit $4,000 of the
 denosit.

      t.  Lombardo has applied for reimbursement of the $4,000
 paid for the release. He argues that the paymen; of $4,000 saved
 the Government money because he would have incurred more reimburs-
 able charges if he had purchased the house, and then sold it
 immediately.

      The statutory authorization for the reimbursement of expenses
 of the sale of an employee's residence at hib old duty station is
 contained in 5 U.S.C. 5724a(a)(4). Section 2-6 of the Federal


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            TW   COMPTROLLER OENWRAL
.010 THE UNITED UTATWE
      ,  WAgMINOTON. C, C.  20840
   4               CiT10


   4 * .OATE:4rn i, 1976


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