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B-224133 1 (1987-12-22)

handle is hein.gao/gaobadmyj0001 and id is 1 raw text is: The Comptroller General of the United States Washington, D.C. 20548 Decision Matterof- Variable Housing Allowance - Offset for Monthly Housing Expenses File: B-224133 Date: December 22, 1987 DIGEST 1. Under a 1985 amendment to the variable housing allowance (VHA) law, VHA is reduced under certain circumstances where it, together with basic allowance for quarters, exceeds a member's housing costs. The amount of reduction, if any, depends on the member's monthly housing costs, with higher monthly housing costs resulting in no reduction or a lesser reduction. The regulation defining monthly housing costs may not include the cost of a second mortgage taken for reasons other than repairing, renovating or enlarging a residence since VHA is an allowance to help a member pay for housing in a high cost area. 2. The definition of monthly housing costs for the purpose of computing the VHA may include the cost of a loan not secured by realty provided that the loan is taken for the purpose of repairing, renovating or enlarging the member's residence. There is no statutory impediment to amending applicable regulations to reflect this, but it is a matter left to administrative discretion in implementing the VHA statute. DECISION The Chairman of the Per Diem, Travel and Transportation Allowance Committee requested an advance decision concerning the computation of variable housing allowances authorized members of the uniformed services to help defray their housing costs in high cost areas in the United States. The questions concern the regulations which define monthly housing costs for a residence for purposes of the variable housing allowance (VHA). Specifically, the Chairman asked whether the following two expenses not currently included in the regulations may be included: (1) personal loans, as distinguished from a second mortgage, for repairing, renovating or enlarging a residence and (2) second mortgages c)s~c~c?~5

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