SLAC MEMORANDUM                                                  

Operated for the U.S. Department of Energy by Stanford University  

October 22, 1999

To: All SLAC Staff

From: Jerry Jobe

Subject: Travel Reimbursement

The purpose of this memorandum is to alert all SLAC travelers to changes in allowable travel reimbursement resulting from language in the FY2000 Energy and Water Development Appropriations Act (the Act). It is important that anyone who expects to travel at SLAC (i.e., government) expense read this memorandum.

Background

The Act, which became law on September 30, 1999 has a provision in it which limits the amount SLAC is authorized to pay for travel expenses using funds appropriated under the Act. In summary, Section 309 of the Act limits DOE Management and Operating contractor (SLAC is one) travel expenses to not more than $150 million in FY2000 (M&O contractors spent $250 million in FY1998) and requires that reimbursement for contractor employee travel costs not exceed that which would be allowed for travel by employees of the Federal government.

The Senate/House Conference Report amplified this with the following direction:

"The conferees are aware that there is a cost difference because contractors cannot receive government rates for certain travel expenses. However, the regulations should ensure that contractors are not allowed to charge the government for business class or first class travel expenses, hotels which exceed the government per diem allowance, and other expenses and benefits… …which are not allowed if the traveler is a Federal employee."

Impact on SLAC Travelers

The Department of Energy will be issuing detailed guidance to us regarding the implementation of this provision. However, in the interim, SLAC travelers should plan their trips based on the reimbursement limits established by the Federal Travel Regulations (FTRs). SLAC may not be able to reimburse travel expenses incurred by SLAC travelers which exceed these limits. In the event that SLAC cannot reimburse expenses which exceed these limits they may have to be borne by the traveler. Federal reimbursement rates for lodgings, meals and incidental expenses can be found at http://Policyworks.gov/perdiem. The Federal Travel Regulations can be found at http://Policyworks.gov/ftr.

• Highlights from the Federal Travel Regulations

• Reimbursement options for lodging and meals:

Federal per diem – daily payment to cover the cost of lodging, meals and incidental (M&IE) expenses (incidental expenses include things such as tips to baggage carriers, bellhops, maids, and laundry, cleaning, etc.). The basic per diem rate is $50 per day for lodging and $30 per day for meals and incidental expenses. Rates specific to "high cost" areas can be found within the above web site   (http://policyworks.gov/perdiem). If the area is not listed explicitly on the web site, the basic rate applies. The lodging rate listed does not include taxes. Meals and incidental expenses are distributed as follows:

M&IE	$30	$34	$38	$42	$46
Breakfast	6	7	8	9	10
Lunch	6	7	8	9	10
Dinner	16	18	20	22	24
Incidentals	2	2	2	2	2

The three reimbursement methods under the FTRs are:

1. Lodging plus per diem – actual lodging costs not to exceed the maximum lodging rate for the location. (Note: This will require that the traveler submit a lodging receipt.)
2. Reduced per diem – when the agency can determine in advance that lodging and/or meal costs will be lower than the per diem rate. (Note: SLAC interprets this to mean that the agency can establish a per diem rate lower than that contained in the FTRs for a particular area or event – a "reduced per diem" rate.)
3. Actual expense – if allowed by the agency, the traveler can be reimbursed up to 300% of the per diem rate for the location. (Note: We do not know the DOE policy with regard to travel reimbursement under this method. We expect the guidance from the DOE to address this particular provision of the FTRs and whether it will be available for contractor travel reimbursement.)

• Other reimbursement rules

You will be reimbursed the usual fare plus tip for use of a taxicab or shuttle to/from the terminal. If you use your own vehicle, airport parking reimbursement may not exceed the cost of taxi fare to/from the terminal. If shuttle service is available a monetary limit may be placed on the amount of reimbursement for the use of taxicabs.

If meals are not available at your temporary station the cost of a taxi to the nearest available place to obtain meals is reimbursable.

Per diem for the day of departure and the day of return is limited to 75% of the full day rate.

The per diem rate applicable on the day of return is the rate applicable to the previous day of travel.

If travel is 12 hours or less the traveler is not eligible for any reimbursement for lodging and M&IE.

Use of a rental car requires prior authorization.

Use of premium class travel (business or first class) requires prior approval. Premium class travel can be approved for the following reasons (among others):

1. It is necessary to accommodate a disability or special need. A disability must be substantiated in writing by competent medical authority.
2. The use results in overall cost savings by avoiding additional subsistence, overtime, lost productive time while awaiting coach-class accommodations.
3. Scheduled flight time is over 14 hours and the destination is outside the continental US.

Action

For those travelers who start their trip prior to the end of October and have already booked lodgings that exceed the government allowance please contact Mimi Chang at extension 3244 or me at extension 4245.

Those travelers starting their trip in November or later will be expected to plan and book their trip using the Federal per diem rates as their reimbursement standard. Pending the DOE guidance on the implementation of the Act, SLAC cannot guarantee that travelers incurring expenses in excess of the federal rates will be fully reimbursed.

Please call Mimi Chang or me (not Travel) if you have questions regarding any of the above.