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B-197873 1 (1980-04-02)

handle is hein.gao/gaobadidn0001 and id is 1 raw text is: DECISION I I t~ ~ q -~ If~~f * ~ /33 2- THE COMPTROLLER GENERAL OF THE UNITED STATES WASHINGTON. D.C. 20548 FILE: B- MATTER DIGEST: 197873 DATE: April 2, 1980 OF: Reimbursement for Services, Supplies and Equipment Furnished between Government Agencies 1. Section 601 of the Economy Act of 1932, as amended, 31 U.S.C. § 686(a) does not require that all inter- departmental loans of employees be made on a reim- bursable basis. On the contrary, as we held in 13 Comp. Gen. 234 (1934), such loans of services must be reimbursed only where so provided by prior written agreement between the agencies involved. This rule was neither nullified nor modified by our recent decisions in 56 Comp. Gen. 275 (1977) and 57 Comp. Gen. 674 (1978) which hold only that a loaning agency must recover its actual costs, including significant indirect costs, where reim- bursement has been agreed upon in a prior writing. 2. Loans of supplies, equipment and materials may be made on a non-reimbursed basis if for a temporary period and the borrowing agency agrees to assume costs incurred by reason of the loan. However, as further stated in 38 Comp. Gen. 558 (1959), transfers which are or may become permanent must be made on a reimbursable basis in order to comply with section 601 of the Economy Act of 1932. This decision is in response to a letter from the General Counsel, Agency for International,_Development, dated February 19, 1980, request- ing our views regardingLreimbursements for services, equipment and supplies furnished between Government agencies and departments7pur- suant to section 601 of the Economy Act of 1932, as amended, 31 U.S.C. § 686(a)(1976) (Economy Act). Specifically, it is questioned wheth- er our recent decisions in 57 Comp. Gen. 674 (1978) and 56 Comp. Gen. 275 (1977) contemplate reimbursement of actual costs for all inter- agency transactions under the Economy Act, thereby overruling our determination in 13 Comp. Gen. 234 (1934) that reimbursement is re- quired for interagency loans of personnel only where so provided in a prior written agreement. We were further asked whether inter- departmental loans of supplies, equipment and materials may be made on a non-reimbursed, accommodation basis. Section 601 of the Economy Act, supra, was enacted to permit Government agencies to contract with other agencies for the purchase and sale of needed supplies and employee services. It was contemplated that economies would be realized if agencies utilized the available

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