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November 2001
IN THIS ISSUE

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CUSTOMS NEWS

Information is key to successful relocation

By William Fouts, Financial Program Specialist, Office of Finance

There is a saying in the relocation business, that along with death and divorce, a move is one of the most stressful events a family can experience. The U.S. Customs Service is doing everything it can to disprove that old truism by making relocations a pleasant experience for Customs employees and their families.

Customs has published a relocation guide titled "Relocating the Customs Way," which answers some of the questions most commonly asked by employees relocating. The Cendant counselor provides a guide to each Customs transferee. The guide is also accessible on Customs Intranet (Customsnet), under "Hot Links." The guide is written in an easy-to-read question and answer format. An employee is guided through his/her relocation process, starting with the notification of selection right through to the actual move.

Recent relocation policy changes: Temporary change of station
A temporary change of station (TCS) is an alternative to a long-term temporary duty (TDY) travel assignment. A TCS can last between 6 and 30 months. Subsequently, upon completion of the long-term assignment, you return to your previous duty station. Customs gives your authorizing official (the person who signs your relocation authorization) discretion in determining whether it is in the government's interest to authorize you a TCS assignment. With a TCS you get all of the entitlements that would be allowed with a permanent change of station (PCS) assignment, except residence transaction expenses. A TCS provides Customs with an alternative to a long-term TDY travel assignment, to increase your satisfaction with the assignment, reduce your income tax liability, and reduce the government's costs.

New house-hunting trip and temporary quarters reimbursement options
Customs gives your authorizing official discretion in determining whether it is in the government's interest to authorize a house hunting trip and/or temporary quarter's subsistence expenses (TQSE). The house-hunting trip expenses allowance and TQSE are intended to facilitate and expedite your move and to lower the government's overall cost for your relocation. If you are authorized one or both of the allowances, you now have the option of receiving a fixed amount (lump sum) reimbursement, rather than the customary per diem reimbursement for a house-hunting trip and actual expense reimbursement for TQSE.

The less time you spend on a house-hunting trip and in temporary quarters, the more you stand to gain from using the lump sum reimbursement. If you choose the lump sum method, you do not have to document expenses or provide receipts. If the actual expenses you incur are less than the lump sum amount, you do not have to refund the remaining funds. The downside, however, is that if you spend longer than five days on your house-hunting trip or need to extend your TQSE beyond 30 days and your expenses exceed the lump sum amount, you are precluded from receiving any additional funds.

Be sure to calculate the time you will need and then do a cost comparison between the lump sum and customary reimbursement methods. You must make a one-time election of your choice of reimbursement, either lump sum or customary reimbursement, in writing, at the time you complete your relocation expense authorization. The election is irrevocable.

Transportation of privately owned vehicles
Customs may now authorize transportation of one privately owned vehicle (POV) in connection with your PCS within the continental United States, if the distance between your old and new duty stations is 1,500 miles or more. You may ship a POV for distances of less than 1,500 miles if the transportation is advantageous and, based on a cost comparison, cost effective to Customs. Also, you may now be authorized to ship one POV from a foreign post to the continental United States, even though you did not originally ship a POV to the foreign location. The weight of your POV will not count against the maximum combined weight you are allowed for your household goods shipment.

Home marketing incentive payments
If you are participating in the Guaranteed Homesale Program, you may be eligible to receive a home marketing incentive payment if you independently market your home and find a buyer as a result of your marketing efforts. Afterwards, you must transfer your residence to a relocation services company, which will then complete the sale. The incentive payment is 2 percent, up to a maximum of $8,000, of the price the relocation services company paid when it purchased the home from you.

The incentive payment rewards you for finding a buyer on your own, and reduces Customs relocation costs by reducing the fees/expenses Customs must pay to the relocation services company. The incentive payment is considered income, so you will be taxed on the amount Customs pays for the home marketing incentive payment.

Property management expenses
Customs may pay for property management services for your residence, which you would otherwise be eligible to sell, at your old duty station. Property management services are programs provided by private companies for a fee, and help you to manage your residence at your old official duty station as a rental property. Customs gives your authorizing official discretion in determining whether it is in the government's interest to authorize payment for these services.

You may be authorized property management services under the Customs relocation service contract, in which case you incur no out-of-pocket expenses. Alternatively, you can obtain these services on your own and be reimbursed. Your reimbursement cannot exceed the relocation services contract cost for these services (estimated to be $6,000 per year). The program assists you in retaining your primary residence at your old duty station, and reduces Customs overall relocation costs.

Ensuring a smooth relocation
In order to facilitate a smooth relocation for employees, Customs uses a "move management provider" called Cendant Mobility that has a dedicated staff to work with employees on their relocations. Cendant counselors are available from 8:30 a.m. to 8 p.m. (EST) at 800.488.6508, extension 7509, or 203.205.6635. The National Finance Center travel section at Indianapolis, Ind., has a knowledgeable staff available to assist transferees with procedural/operational issues. The travel section will process approved relocation authorizations and vouchers, and can be reached on 317.298.1200, extension 1575.

graphic of moving van

The Financial Management Division, Financial Policy Branch, develops relocation policy information (relocation guide, directives, information notices, and satellite broadcasts) and coordinates with federal and industry relocation counterparts to provide Customs transferees with the information and guidance they need for successful moves. For further information about Customs relocation policy, please contact William Fouts, Financial Management Division, Financial Policy Branch, on 202.927.1354.


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