_____________________ July 31, 1997 _____________________ GSBCA 13714-TRAV In the Matter of JAMES G. CLAXTON James G. Claxton, Ogden, UT, Claimant. Charles N. Stockwell, Directorate of Support Services, Defense Finance and Accounting Service, Denver, CO, appearing for Department of Defense. NEILL, Board Judge. Claimant in this case, Mr. James Claxton, is an electrical mechanic working as a civilian employee of the United States Air Force. He seeks to avoid a demand by the United States Air Force for a refund of $68.15 of a travel advance. The advance was received by Mr. Claxton prior to his departure from Hill Air Force Base (AFB) in Utah for temporary duty (TDY) at Spangdahlem AFB in Germany. The Air Force has asked for a refund of the amount in question based on an adjustment made to the initial calculation of Mr. Claxton s authorized per diem. We agree that the adjustment was in accordance with applicable regulations and that the agency s demand is, therefore, a valid one. We are suggesting, however, that, given the extenuating circumstances of this case, the agency may wish to consider waiving its demand. Background On July 20, 1995, claimant was issued travel orders authorizing him to travel from Hill AFB in Utah to Spangdahlem AFB in Germany for a TDY of 75 days. The orders show a per diem allowance of $8 for lodging and $49 for meals and incidental expenses (M&IE). This $49 for M&IE was based on $7 for breakfast, $12 for lunch, $20 for dinner, and $10 for incidental expenses. Under the Department of Defense s Joint Travel Regulations (JTR), however, the incidental expense component of M&IE portion of an allowable per diem can, on occasion, be subject to adjustment for travelers outside of the continental United States (OCONUS). Section C4557 of the JTR provides that when Government quarters are available on a post, camp, station, base, or depot owned or operated by the United States, the incidental portion of per diem for OCONUS areas will be $3.50 instead of the amount prescribed elsewhere in the regulations. Quarters were available for Mr. Claxton at Spangdahlem AFB. As a result, in processing his travel voucher upon his return, the base travel office reduced the otherwise applicable daily M&IE of $10 to the lesser amount appropriate for OCONUS travelers using Government quarters available on site. As a result of these adjustments, the claimant s allowable expenses came to a total of $4101.85, which is $68.15 less than the travel advance of $4170 previously received. Hence the agency s demand for the difference. The claimant as well as several of his superiors at Hill AFB strongly object to the Air Force s demand for a refund. They point out that the employee was advised prior to departure that his MI&E would be $49 per day and that he planned and spent in accordance with this figure. Those insisting on adjusting the M&IE allowance base their action on the clear requirement of JTR C4557. In accordance with the claimant s request, this matter was referred to the General Accounting Office (GAO) by the Defense Finance and Accounting Service (DFAS). In referring the case, DFAS noted that the issue presented in the claim is of particular significance since there are ten other employees who traveled to Spangdalhem AFB with Mr. Claxton who likewise experienced a downward adjustment of the MI&E originally authorized and are now facing similar claims. Pursuant to subsequent legislative changes, this claim has since been transferred from GAO to this Board for resolution. Discussion On analyzing the situation presented in this case, DFAS has concluded the applicable provision of the JTR mandates the downward adjustment of the M&IE component of the authorized per diem in view of the availability of quarters at Spangdalhem. We must agree. If orders are issued in accordance with regulations containing a standard M&IE component but that component is, according to the same regulations, subject to adjustment under certain contingencies, then the adjustment not only can but should be made if the contingency occurs or is found to exist. Technically speaking, the applicable regulations must be read as a whole and there is no justification under the regulations for allowing expenses for the employee which are in excess of that to which he or she is entitled. The amount originally authorized was, therefore, contrary to and not permitted under the regulation. What is particularly puzzling in this case, however, is why the incidental expenses component of the M&IE was not immediately adjusted at the time Mr. Claxton's orders were issued. The amount stated on the orders for lodging was $8. Since off-base housing clearly could not be obtained for such a low amount, the assumption of the individual issuing the orders must have been that Mr. Claxton would be staying in base housing. Given this fact and the obvious fact apparent on the face of the orders that the TDY was OCONUS, the $10 for incidental expenses should have been immediately reduced to $3.50. Had this been done at that time, the later misunderstanding would have been avoided. The claimant was apparently unaware of the JTR requirement to adjust the M&IE component for OCONUS travel where quarters are available on site. He, therefore, assumed that he would be entitled throughout his TDY to the full amount of M&IE shown on his original orders. The agency s failure to make the adjustment at the time the orders were originally issued or to advise Mr. Claxton during the course of his TDY of the requirement to do so has produced an unfair result. We recognize that the demand of the agency at this late date is technically required under the applicable regulations. Nevertheless, the after-the-fact adjustment is patently unfair when the facts show that the claimant relied in good faith and to his detriment on the figure stated in his original orders. For this reason the agency may wish to consider exercising the authority it has under law to waive a demand of this type if it concludes that collection would be "against equity and good conscience and not in the best interests of the United States" and if there is no indication of "fraud, misrepresentation, fault, or lack of good faith" on the part of the person whose debt is requested to be waived. 5 U.S.C.  5584(a)(2)(A) (1994). _______________________ EDWIN B. NEILL Board Judge