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B-135058 1 (1971-07-08)

handle is hein.gao/gaobaafip0001 and id is 1 raw text is: 



         LIA
               COMPTROLLER GENERAL OF THE UNITED STAT               ..9
                          WASHINGTON. D).C. 20548 /

B-135058           ST    CUJL1- A VA'      L   e        (.8


Dear Mr. Gross: :roo560I

     This is in response to your letter of February 4, 1971, in which
you asked the General Accounting Office to determine whether, at any
time since 1966, the Institute for Defense Analyses has made expendi-
tures or has provided to its employees fringe benefits similar to
those mentioned in a July 1966 newspaper article forwarded with your
request. The source of the information on which the article is based
is a report dated February 18, 1966, by the Surveys and Investigations
Staff of the House Committee on Appropriations.

     As a part of our audit, we have reviewed the Institute's regular
fringe benefits--such as retirement and life, disability, and health
insurance-wthich are funded jointly by deductions from employees' pay
and contributions from the Institute. We also screened the miscella-
neous reimbursements to Institute officials for entertainment and
other out-of-pocket expenses they had incurred on behalf of the
Institute. We examined the Institute's policies concerning reimburse-
ments for travel expenses and dislocation and relocation allowances
and examined a representative number of these reimbursements.

     We have found no evidence that the Institute regularly is paying
any of the personal expenses of its officers or is authorizing any
unusual type of expense allowance for them, but we have noted a few
instances where employees have received reimbursements for out-of-the-
ordinary expenditures. Details of these reimbursements follow.

pecial dislocation allowance
for outgoing president

     The'Institute paid one of its former presidents approximately
$14,75 to cover his cost of moving from Boston, Massachusetts, to
Washington, D. C., to assume the Institute's presidency. Approxi-
mately $9,000 of this amount--$7,000 cash and $2,000 in withholding
tax--was paid to him as a special dislocation allowance, and payment
was made from funds the Institute had received as management fees.
The authorization approving the allowance mentions, as justification
for the payment, the unusual costs associated with obtaining housing
in Washington, renting out the Cambridge, Massachusetts, house, and
providing for private schools for the two children to minimize the
disruption in their education. The actual costs incurred by the
former president were not itemized, however, and the Institute was
not able to furnish us irith documentation supporting the actual
expenditures.






                    50TH ANNIVERSARY 1921-1971

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