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                               March 7, 1997
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                             GSBCA 13719-RELO


                      In the Matter of RONALD HOLMES


     Ronald Holmes, San Diego, CA, Claimant.

     Willie M. King, Director, Financial Management Division, Equal
Employment Opportunity Commission, Washington, DC, appearing for
Equal Employment Opportunity Commission.

DeGRAFF, Board Judge.

     In January 1992, Ronald Holmes, an employee of the Equal
Employment Opportunity Commission (EEOC) in Washington, DC, made a
permanent change of station to San Diego, California.  Mr. Holmes'
travel orders provided that, if he purchased a residence after he
reported for duty in San Diego, the EEOC would reimburse him for
certain real estate expenses related to the purchase of the
residence.

     On January 3, 1994, Mr. Holmes asked the EEOC for a one-year
extension of time to purchase a residence, and the EEOC granted his
request in a letter dated January 21, 1994.  The EEOC's January 21
letter states:

     In accordance with 41 CFR, part 302-6.1(e), you are
     authorized an extension for one additional year to
     purchase a residence in connection with your permanent-
     change-of-station move from Washington, D.C. to San
     Diego, California.  The total period of time to settle
     these expenses shall not exceed three years under any
     circumstances.  The two years you were originally
     authorized began on January 12, 1992, the date you
     reported to your new duty station and ended on
     January 11, 1994.  You are authorized one additional year
     beginning January 12, 1994 and ending January 11, 1995.

     On January 8, 1995, Mr. Holmes signed a contract to purchase
a house that was being constructed.  Due to difficulties
encountered by the builder, Mr. Holmes canceled the purchase
contract.  On February 25, 1995, Mr. Holmes signed a contract to
purchase another house.   

     On June 6, 1995, Mr. Holmes closed the purchase of his new
residence.  On June 28, 1995, Mr. Holmes claimed reimbursement in
the amount of $10,325 for real estate expenses incurred in
purchasing the new residence.  On August 8, 1995, the EEOC informed
Mr. Holmes that it would not approve his claim because he did not
purchase his new residence within three years after he reported for
duty in San Diego.  Mr. Holmes asked the General Accounting Office
(GAO) to review his claim.

     The Federal Travel Regulation provides that an agency can
reimburse an employee for real estate expenses if the settlement
date for the purchase of the new residence is not later than two
years after the date that the employee reported for duty at the new
duty station.  The agency may, as the EEOC did here, extend this
time limitation by not more than one year.  41 CFR 302-6.1 (1996). 
GAO and this Board have consistently decided that there is no
authority for the reimbursement of real estate expenses if the
employee fails to meet the applicable time limitation.  John J.
Cody, GSBCA 13701-RELO, 97-1 BCA  28,694 (1996); Thomas L.
Chapman, B-230880 (Dec. 12, 1988).  

     If Mr. Holmes wanted to be reimbursed for his real estate
expenses, he was required to purchase a new residence by
January 11, 1995, as the EEOC explained in its January 21, 1994
letter.  Because Mr. Holmes did not meet this time limitation, the
EEOC correctly determined not to reimburse Mr. Holmes for his real
estate expenses.




                                   ______________________________
                                   MARTHA H. DeGRAFF
                                   Board Judge