Part III - Relocation and related provisions

FSD 13 - Assistance for single parents on training or temporary duty assignments outside Canada

Introduction

The Travel Directive provides weekend travel home, when an employee is in continuous travel status for extended periods of time. As well, assistance for dependant care expenses incurred in excess of those incurred by the employee for the care of child(ren) during the work day may be claimed.

This directive is designed to provide an employee option, in lieu of the provisions of the Travel Directive, to minimize the separation in single-parent families where there are one or more pre-school age children.

Directive 13

13.01 At the request of the employee and in lieu of the provisions for week-end travel under the Travel Directive, the deputy head may authorize payment of return transportation expenses for a child to accompany the parent on training or temporary duty outside Canada, up to the cost of travel for the employee which would otherwise be incurred under the Travel Directive.

13.02 Where a child accompanies the employee on training or temporary duty outside Canada, the employee may claim dependant care expenses at the work location outside Canada which are in excess of existing dependant care expenses for equivalent care, up to the costs which would otherwise be incurred at the old place of duty and reimbursed under the Travel Directive.

13.03  Assistance under this directive is available for one or more pre-school age children, that is, children who are not in full-time attendance at an educational institution.

Instructions

1.  Assistance is only available under this directive where an employee may claim assistance under the Travel Directive.

2. Travel assistance is only available where a child accompanies the parent for the duration of the assignment. Travel assistance under this directive is not available for a child to visit the parent during the assignment.

FSD 14 - Travelling expenses for dependants on foreign language training

Introduction

Where the deputy head has authorized a course of foreign language training for a spouse or common-law partner and/or dependant(s) who accompany an employee on a posting, additional costs may be incurred as a result of such training. In such cases, the deputy head may authorize, in accordance with this directive, reimbursement to the employee for actual and reasonable travelling, temporary accommodation, living, local transportation and dependant care expenses, incurred on behalf of the spouse or common-law partner and/or dependant(s).

Directive 14

14.01 Where the deputy head has authorized a course of foreign language training at a location en route to a post for the spouse or common-law partner and/or dependant(s) of an employee who will be residing with the employee at the post, the deputy head may authorize payment of the following expenses incurred by the spouse or common-law partner and/or dependant(s):

(a) actual and reasonable accommodation and living expenses at the location where language training is taken for the duration of the course;

(b) local transportation expenses at the location where language training is taken by the most practicable and economical means as determined by the deputy head for the duration of the course. This could include public transportation (including taxis), the lower kilometric/mileage rate for use of a private motor vehicle, or car rental, depending on local conditions; and (revised July 1, 2005)

(c) dependant care expenses at the location where language training is taken, or, with the prior approval of the deputy head, at some other location, where these are in excess of any existing dependant care arrangements and where the dependant(s) is/are under 18 years of age. The employee shall be reimbursed actual and reasonable dependant care expenses:

(d) the cost of a weekly ten-minute station-to-station long distance telephone call (at weekend discount rates where available) between the training centre and the place of residence of the separated family member(s) except that, where the separated family member(s) is/are temporarily located in Canada, the cost of a telephone call shall not exceed the cost of one ten-minute station-to-station call at weekend discount rates from the location in Canada to the training centre.

14.02 Where the deputy head has authorized a course of foreign language training at a location other than the employee's post for the spouse or common-law partner and/or dependant(s) of an employee who have arrived at a post and who are residing with the employee at the post, the deputy head may authorize payment of the following expenses incurred by the spouse or common-law partner and/or dependant(s):

(a) actual and reasonable return travelling expenses between the employee's post and the location where language training is taken;

(b) actual and reasonable accommodation and living expenses at the location where language training is taken for the duration of the course;

(c) local transportation expenses at the location where language training is taken by the most practicable and economical means as determined by the deputy head for the duration of the course. This could include public transportation (including taxis), the lower kilometric/mileage rate for use of a private motor vehicle, or car rental, depending on local conditions; and (revised July 1, 2005)

(d) dependant care expenses at the location where language training is taken and/or at the employee's post, where these are in excess of any existing dependant care arrangements and where the dependant(s) is/are under 18 years of age. The employee shall be reimbursed actual and reasonable dependant care expenses:

(e) the cost of a weekly ten-minute station-to-station long distance telephone call (at weekend discount rates where available) between the training centre and the place of residence of the separated family member(s).

Instructions

1. Receipts for costs incurred under Sections 14.01(c) and 14.02(d) shall include the cost, dates of employment and the sitter's/company's name and telephone number, as well as the sitter's social insurance number (where applicable).

2. For purposes of Section 14.02(a), travelling expenses means expenses for air transportation and local transportation to and from airports at the points of departure and destination and, when authorized in advance by the deputy head, for accommodation, meals and local transportation to and from the airport for a necessary stopover, where it is not possible or practicable to arrange an itinerary which will provide continuing travel to the approved destination.

3. Expenses authorized under this directive shall not exceed those which would be authorized under the relevant provisions of Directive 15, Relocation.

4. The dollar amounts specified in Sections 14.01(c) and 14.02(d) shall be amended from time to time to reflect the dollar amounts authorized by the Travel Directive; any such change shall be indicated in the Foreign Affairs and International Trade's monthly Schedules to Foreign Service Directives and Meal Rates.

5. Telephone calls shall not be reimbursed where training is at a location in Canada and the employee is in receipt of an Incidental Expense Allowance for travel within Canada and Continental USA under the Travel Directive.

6. The provisions for dependant care under this directive also apply to joint custody situations where the dependant qualifies as a dependant or dependent student under the provisions of FSD 2 - Interpretation. Depending on the terms of the joint custody agreement, dependant care assistance shall not normally be provided where the child's other parent resides in the same location as the child who requires dependant care.

7. For purposes of Section 14.01(b) and 14.02(c), the lower kilometric/mileage rate is established by the Deputy Minister of Foreign Affairs by adjusting the Lower Kilometric/Mileage Rate applicable to Ottawa (as approved by the National Joint Council and quoted on the Treasury Board of Canada Government Travel web site http://www.collectionscanada.gc.ca/webarchives/20071206122955/http://www.tbs-sct.gc.ca/pubs_pol/hrpubs/TBM_113/cad-datq-a_e.asp), to exclude the fuel/gasoline component of that rate and replace it with a component based on the fuel/gasoline cost incurred by the employee at the post. (revised July 1, 2005)

FSD 15 - Relocation

Application

15.01

(a) This directive applies to an employee and/or a dependant on relocation to, from and between posts and on ceasing to be an employee and/or dependant while serving outside Canada.

(b) The relocation provisions should provide for the employee's legitimate relocation expenses, without opening the way for personal gain or for the underwriting of extravagances. Employees should read this directive carefully and where the advice given by the department contradicts the directive, employees should request that the advice be given in writing. This is important as expenses resulting from misinterpretation or mistakes shall not necessarily be reimbursed.

(c) It is the employer who decides whether an employee should be relocated, therefore, it is the sole responsibility of the employer to determine the relocation assistance that should be provided.

(d) In any relocation, the aim should be to relocate the employee in the most efficient fashion - that is, at the most reasonable cost to the public, and with minimal inconvenience to the employee and family.

(e) When travelling and/or living expenses are authorized under this directive or under other directives, a dependant is entitled to transportation and accommodation standards similar to those applicable to the employee. If during relocation the employee is required to precede or follow a dependant to or from the post, one dependant shall be considered, subject to the approval of the deputy head, as the employee for purposes of expenses incurred under this directive.

(f) The employer shall grant an employee reasonable time off with pay to effect the relocation, including the overseeing of the packing and unpacking of household effects, as well as for house hunting and travel to the new location; reasonable time off with pay should also be granted to the spouse or common-law partner where the spouse or common-law partner is also an employee; such authority will not be unreasonably withheld.

(g) The provisions of this directive shall normally apply to one employee only of an employee-couple. The other employee will be considered as a dependant for the purposes of the relocation, unless the deputy head determines that individual treatment is justified by program requirements. In that case, the details shall be reported to the appropriate foreign service interdepartmental co-ordinating committee.

Guidelines

1. FSD 4 - Accountable advances will apply to the issuance of an accountable advance for expenses for which no specific provision for an advance is contained in this directive.

2. The intent of Section 15.01(f) is to take into account the circumstances of each case, including assistance accompanying dependants might provide, in determining reasonable time off.

Interpretation

15.02 In this directive:

(a) Place of duty (lieu de travail) refers to a location in Canada or a post at or from which an employee's duties are ordinarily performed, and includes any area which, according to local custom, is within commuting distance of the place of duty;

(b) Relocate (réinstallation) refers to the authorized geographic move of an employee and/or dependant between a place of duty in Canada and a place of duty at a post, or between a place of duty at one post and a place of duty at another post;

(c) Relocation expenses (frais de réinstallation) means the cost as applicable of either:

(i)

(A) travelling expenses of the employee and a dependant, and/or

(B) packing, crating, cartage, transportation and unpacking of an employee's household effects, and/or

(C) long-term storage of household effects where the deputy head has not authorized shipment of such effects to the employee's post, or necessary incidental storage of those household effects which the deputy head has authorized for shipment for a period not exceeding twelve months,

or

(ii) the various expenses for which provision is made in this directive,

(d) Transportation entitlement (indemnité de transport) refers to full economy (Y) air fare, for the employee and each accompanying dependant, from the former place of duty to the new place of duty. Each employee and dependant is entitled to an individual seat under this directive. Where reduced fares are offered for children on airlines acceptable to the Mission, such fares will normally be used to determine the airfare entitlement,

as specified in the applicable section of this directive.

Relocation Travel

Travel reservations and entitlement

15.03

(a) When an employee is relocated, travel arrangements shall be made through the facilities provided by the employer unless the employee chooses to make personal arrangements. In the latter case the employee's transportation entitlement shall be established by the employer.

(b) When an employee is relocated from Ottawa to a post or from a post to Ottawa, the transportation routing for the purpose of establishing a transportation entitlement shall be via the most direct routing by air between the post and the employee's headquarters city.

(c) Subject to Sections 15.03(d) and (e), where an employee is relocated from one post to another post, the transportation routing for the purpose of establishing a transportation entitlement shall be up to the cost for the most direct routing by air from the employee's present post to the employee's next post.

(d) Where an employee and/or dependant(s) wish to travel through the headquarters city on cross-posting to access personal effects in storage, or for other reasons, the transportation entitlement will be amended to cover the cost of such travel through the headquarters city. The employee will be required to prove that travel to headquarters took place.

(e) In the event that the deputy head instructs an employee to proceed from the present post directly to the next post, the employee and accompanying dependants shall be entitled to one additional trip to the headquarters city for use during the employee's next posting in accordance with FSD 50.02(c) unless the employee's dependant(s) are authorized to travel through the headquarters city. In this case, the employee shall be entitled to one additional trip, in accordance with this section.

(f) In exceptional circumstances, the deputy head may provide an employee and accompanying dependant(s) with return transportation from the present post to the headquarters city prior to departure from the employee's present post, in lieu of the provisions of Sections 15.03(d) and 15.03(e), following confirmation of an assignment from one post to another post and where the action will facilitate the operational requirements of the department.

(g) In determining the transportation entitlement where an employee chooses to make personal arrangements, the employer shall establish an entitlement based on the most economical published full economy air fare by airlines normally approved by the deputy head for travel by employees which provide a standard of travel comparable to that provided by major international airlines for the most direct routing at the time of travel. The employer shall also determine such additional assistance as is considered appropriate to the circumstances in accordance with Section 15.06(a). The transportation entitlement referred to above which may exceed the most economical air fare, shall be fully accountable and applies only to actual travelling expenses incurred.

(h) Notwithstanding Section 15.06(a)(ii), where the employee chooses to make personal travel arrangements the employer will not be responsible for any expenses occurring as a result of disruptions or delays arising from the arrangements made by the employee.

(i) Where an employee chooses to make personal travel arrangements, the difference in costs between those arrangements and the entitlement shall be the employee's responsibility when the former exceeds the latter.

(j) The transportation entitlement shall commence on the day of departure from the old place of duty and shall cease on the day of arrival at the new place of duty.

Instruction

It is the responsibility of the employee to request travel through the headquarters city on relocation travel from one post to another post, should such travel be desired. In the absence of a specific request, the transportation entitlement shall be determined in accordance with Section 15.03(e).

Modes and standards of transportation

15.04 General

An employee who is relocated will normally travel by air. However, where feasible, an employee may also choose to travel by sea or by PMV.

Employees will be reimbursed for specified expenses related to the selected mode of travel, or may elect for a non-accountable relocation travel allowance (NAA), as outlined in this section.

(a) Option of Non-accountable Relocation Travel Allowance (NAA)

When selecting a mode of travel, an employee may opt for a non-accountable relocation travel allowance (NAA), which shall be determined on an individual basis by the deputy head in advance of travel, as outlined below. No claim is necessary.

In addition to the NAA, employees may submit a claim for reimbursement for:

(i) local transportation at the new place of duty in Canada or outside Canada;

(ii) claimable relocation-related expenditures (such as dependant care) not included in the non-accountable allowance; and

(iii) living expenses in temporary accommodation in excess of the four days included in the NAA. These will only be reimbursed when, in the opinion of the deputy head, such additional assistance is warranted due to circumstances beyond the employee's control.

Where driving is an option, the employee may be requested to prove that travel took place as per the predetermined mode of travel.

Where an employee elects for a NAA under this section, no other non-accountable travel allowance to which that employee may be entitled under the Foreign Service Directives may be used in conjunction with relocation travel.

An employee who does not elect for a NAA under this section may claim for other travel authorized under the Foreign Service Directives in conjunction with relocation travel.

(A) Transportation by Air

(i) Air travel is the standard mode of transportation on relocation as in almost all cases it is the most practical and economical. Canadian carriers shall be used for all or part of the transportation, unless the cost or travel time is significantly increased.

(ii) Economy class is the accepted class of Government business travel, including relocation travel. A higher standard of air travel may be authorized by the deputy head when, in the opinion of the deputy head, the extra cost is justified.

(iii) Each employee and dependant is entitled to an individual seat under this directive. Where reduced fares are offered for children on airlines acceptable to the Mission, such fares will normally be used to determine the airfare entitlement.

(iv) Effective June 1, 2001, employees who participate in one or more travel loyalty programs may collect and redeem travel points and other benefits offered by the travel industry for business or personal travel authorized under the Foreign Service Directives.

It should be noted, however, that benefits earned as a result of travel under these directives are taxable benefits when redeemed for personal use and must be reported as taxable income.

(v) Where available, business/executive class air travel shall be authorized where continuous air travel exceeds nine hours and the employee submits a claim for relocation travel, with receipts. Continuous air travel starts at the scheduled departure time and ends with the arrival at destination or with an overnight stop or layover equivalent to an overnight stop. (revised October 21, 2005)

Travel by air - Non-accountable Relocation Travel Allowance (NAA)

(vi) An employee who makes personal relocation travel arrangements for travel by air may elect for a non-accountable relocation travel allowance (NAA), which shall be determined on an individual basis by the deputy head in advance of travel, in lieu of the specific corresponding provisions of this directive.

The NAA shall be determined by the employer, to include:

(A) A transportation entitlement to reflect:

from the former place of duty to the new place of duty.

Each employee and dependant is entitled to an individual seat. Where reduced fares are offered for children on airlines acceptable to the Mission, such fares will normally be used to determine the airfare entitlement.

(B) Subject to the limitations of Section 15.33(a), two nights' hotel accommodation at the former and at the new place of duty, at establishments used by employees travelling on official business, where the employee will not be occupying Crown accommodation;

(C) Subject to the limitations of Section 15.33(a), the composite allowance for the employee and the appropriate meal allowance for each accompanying dependant, for two days at the former and at the new place of duty; and

(D) For relocations from Canada, an amount of $75.00 to compensate for local transportation costs at the place of duty in Canada.

(E) Costs of authorized stopovers, to reflect costs which would be approved for stopovers when the employer makes the arrangements for relocation travel, for meals, accommodation, one incidental expense allowance and local transportation between the airport and the hotels.

Instruction

This option is not available where an employee elects to use an entitlement under FSD 45 - Foreign service travel credit bank in conjunction with relocation travel.

(b) Transportation where air services not used

General

(i) An employee who chooses transportation by some other mode shall be personally responsible for making transportation arrangements.

(ii) Unless otherwise specified in this directive, the deputy head shall authorize reimbursement of travelling expenses in accordance with this directive up to the cost that would have been incurred under Section 15.03 and 15.04(a) had travel been by air.

(iii) An employee who chooses to travel by a mode of transportation other than air shall be granted travel leave up to the limit of the travel time that would have been required had the travel been by air, except:

(A) where travel is authorized under Section 15.04(c), in which case the deputy head shall determine the appropriate amount of travel leave; and

(B) when the employee elects PMV travel with a non-accountable allowance.

(iv) An employee who chooses to travel by private motor vehicle (PMV) may claim:

(A) the kilometric/mileage rate applicable to government business travel at the point of departure for the actual number of kilometres driving distance between the former place of duty and the new place of duty, increased by 20% for necessary additional travel, as determined by the deputy head; and (revised July 29, 2005)

(B) the lower kilometric/mileage rate for a second PMV, for the same driving distance as for the first vehicle, increased by 20%, if a second vehicle is being driven; and (revised July 1, 2005); and

(C) travelling expenses for the journey by PMV, for the employee and each accompanying dependant. The deputy head shall determine the number of stopovers and the number of days for which reimbursement for meals and accommodation while travelling may be claimed, on the basis of the most practical and economical route by PMV,

except that

(D) travelling expenses reimbursed shall not exceed the transportation entitlement, that is full economy (Y) air fare for the employee and each accompanying dependant, from the former place of duty to the new place of duty. Each employee and dependant is entitled to an individual seat. Where reduced fares are offered for children on airlines acceptable to the Mission, such fares will normally be used to determine the air fare entitlement. This entitlement shall be increased by the estimated cost of shipping one PMV, which would otherwise have been shipped from its location to the new place of duty (see Section 15.17 Shipment of Private Motor Vehicle).

and

(E) in cases where one car is shipped and the other one driven, the lower kilometric/mileage rate will apply, and reimbursement shall be limited to the cost of air travel alone. (revised July 1, 2005).

Instructions (revised July 1, 2005)

1. For purposes of Section 15.04(b)(iv)(A), the kilometric/mileage rate applicable to government business travel is quoted on the following Treasury Board of Canada Government Travel web site: (revised July 1, 2005)

Canada: http://www.collectionscanada.gc.ca/webarchives/20071116092842/http://www.tbs-sct.gc.ca/pubs_pol/hrpubs/TBM_113/b_e.asp (revised July 1, 2005)

Locations Abroad: http://www.collectionscanada.gc.ca/webarchives/20071116092842/http://www.tbs-sct.gc.ca/pubs_pol/hrpubs/TBM_113/krla-tkde_e.asp (revised July 1, 2005)

United States of America: http://www.collectionscanada.gc.ca/webarchives/20071116092842/http://www.tbs-sct.gc.ca/pubs_pol/hrpubs/TBM_113/krus-tkeu_e.asp (revised July 1, 2005)

2. For purposes of Section 15.04(b)(iv)(B) and (E), the lower kilometric/mileage rate is established by the Deputy Minister of Foreign Affairs by adjusting the Lower Kilometric/Mileage Rate applicable to Ottawa (as approved by the National Joint Council and quoted on the Treasury Board of Canada Government Travel web site http://www.collectionscanada.gc.ca/webarchives/20071116092842/http://www.tbs-sct.gc.ca/pubs_pol/hrpubs/TBM_113/menu-travel-voyage_e.asp), to exclude the fuel/gasoline component of that rate and replace it with a component based on the fuel/gasoline cost incurred by the employee at the post. (revised July 1, 2005)

Travel by PMV - Non-accountable Relocation Travel Allowance (NAA)

(v) When an employee elects for a non-accountable relocation travel allowance (NAA) for travel by PMV, the allowance shall be determined on an individual basis by the deputy head in advance of travel, as follows:

(A) the "kilometric/mileage rate applicable to government business travel" at the point of departure for the actual number of kilometres driving distance between the former place of duty and the new place of duty, increased by 20% for necessary additional travel, as determined by the deputy head; and (revised July 1, 2005)

(B) the lower kilometric/mileage rate for a second PMV, for the same driving distance as for the first vehicle, if a second vehicle is being driven; and (revised July 1, 2005)

(C) travelling expenses for the journey by PMV, for the employee and each accompanying dependant. The deputy head shall determine the number of stopovers and the number of days for which meals and accommodation while travelling will be included in the allowance, on the basis of the most practical and economical route by PMV; and

(D) subject to the limitations of Section 15.33(a), two nights' hotel accommodation at the former and at the new place of duty, at establishments used by employees travelling on official business, where the employee will not be occupying Crown accommodation;

(E) subject to the limitations of Section 15.33(a), the composite allowance for the employee and the appropriate meal allowance for each accompanying dependant, for two days at the former and at the new place of duty:

and

(F) two days' leave shall be granted as travel leave.

except that,

(G) travelling expenses, as outlined in Section 15.04(b)(v)(A), (B) and (C) shall not exceed the transportation entitlement, that is, full economy (Y) air fare for the employee and each accompanying dependant, from the former place of duty to the new place of duty. Each employee and dependant is entitled to an individual seat. Where reduced fares are offered for children on airlines acceptable to the Mission, such fares will normally be used to determine the air fare entitlement. This entitlement shall be increased by the estimated cost of shipment of one PMV, which would otherwise have been shipped from its location to the new place of duty (see Section 15.17, Shipment of Private Motor Vehicle).

Instructions (revised July 1, 2005)

1. For purposes of Section 15.04(b)(v)(A), the kilometric/mileage rate applicable to government business travel is quoted on the following Treasury Board of Canada Government Travel web site: (revised July 1, 2005)

Canada: http://www.collectionscanada.gc.ca/webarchives/20071116092842/http://www.tbs-sct.gc.ca/pubs_pol/hrpubs/TBM_113/b_e.asp (revised July 1, 2005)

Locations Abroad: http://www.collectionscanada.gc.ca/webarchives/20071116092842/http://www.tbs-sct.gc.ca/pubs_pol/hrpubs/TBM_113/cad-datq-a_e.asp(revised July 1, 2005)

United States of America: http://www.collectionscanada.gc.ca/webarchives/20071116092842/http://www.tbs-sct.gc.ca/pubs_pol/hrpubs/TBM_113/krus-tkeu_e.asp (revised July 1, 2005)

2. For purposes of Section 15.04(b)(v)(B), the lower kilometric/mileage rate is established by the Deputy Minister of Foreign Affairs by adjusting the Lower Kilometric/Mileage Rate applicable to Ottawa (as approved by the National Joint Council and quoted on the Treasury Board of Canada Government Travel web site http://www.collectionscanada.gc.ca/webarchives/20071116092842/http://www.tbs-sct.gc.ca/pubs_pol/hrpubs/TBM_113/cad-datq-a_e.asp), to exclude the fuel/gasoline component of that rate and replace it with a component based on the fuel/gasoline cost incurred by the employee at the post. (revised July 1, 2005)

Travel by PMV may be for a portion of the journey from the old place of duty to the new place of duty. In that case, the entitlement for PMV shipment shall be limited to the cost of shipment of the employee's PMV which would have been incurred had the PMV been shipped from the location where the employee commenced travel by PMV to the new place of duty.

Guideline

In the interest of driving safety, an employee who is authorized to travel by PMV shall not normally be expected to travel more than 500 kilometres (312 miles) per day unless the distance between the old and the new place of duty is less than 650 kilometres (409 miles) in which case the employee shall be expected to complete the journey within one day, unless conditions acceptable to the deputy head prevent completion of the journey within that time.

Transportation Entitlement - Travel by Sea

(vi) An employee who chooses to travel by sea for part of the relocation, may claim:

(A) up to the transportation entitlement which would have been granted had the employee travelled by air, that is, full economy (Y) air fare for the employee and each accompanying dependant, from the former place of duty to the new place of duty. Each employee and dependant is entitled to an individual seat. Where reduced fares are offered for children on airlines acceptable to the Mission, such fares will normally be used to determine the airfare entitlement.

An employee may supplement the entitlement with one or both of the following:

(B) a foreign service travel allowance in accordance with FSD 45 - Foreign service travel credit bank; and/or

(C) where an employee is shipping a private motor vehicle (PMV) on the same ship, the total entitlement shall include the cost determined by the deputy head for shipment of a PMV in accordance with FSD 15.17(e).

Claimable expenses shall be limited to:

(D) the actual cost of transportation by sea between one overseas harbour and a North American harbour, for example, Southampton-New York;

(E) the actual cost of transportation by sea between one overseas harbour and a North American harbour, where a foreign service travel allowance has been authorized under FSD 45 - Foreign service travel credit bank;

(F) actual costs incurred for shipment of a private motor vehicle where such costs are not included in the total ticket price for transportation/travel by ship, including costs related to the shipment of the PMV such as dock charges, insurance, etc. It is the employee's responsibility to make all arrangements for the shipment of the PMV.

(G) admissible travelling expenses incurred for surface travel from the employee's former place of duty to the point of embarkation, and from the point of debarkation to the new place of duty, including any authorized stopovers in accordance with FSD 15.04(b).

(H) where a travel allowance has been authorized in accordance with FSD 45 - Foreign service travel credit bank, expenses may be claimed as specified in that directive.

Travel by sea - Non-Accountable Relocation Travel Allowance (NAA)

(vii) An employee who makes personal relocation travel arrangements for travel by sea, which may include shipment of a PMV which has been authorized by the deputy head, may elect for a non-accountable relocation travel allowance (NAA) which shall be determined on an individual basis by the deputy head in advance of travel, as follows:

(A) The transportation entitlement which would have been granted had the employee travelled by air, that is, the full economy (Y) air fare for the employee and each accompanying dependant, from the former place of duty to the new place of duty. Each employee and dependant is entitled to an individual seat. Where reduced fares are offered for children on airlines acceptable to the Mission, such fares will normally be used to determine the airfare entitlement.

(B) The estimated cost of shipment of the employee's PMV, as established by the Employer in accordance with the provisions of Section 15.17, where shipment of a PMV has been authorized by the deputy head, and

(C) Subject to the limitations of Section 15.33(a), two nights' hotel accommodation at the former and at the new place of duty, at establishments used by employees travelling on official business, where the employee will not be occupying Crown accommodation;

(D) Subject to the limitations of Section 15.33(a), the composite allowance for the employee and the appropriate meal allowance for each accompanying dependant, for two days at the former and at the new place of duty, and

(E) For relocations from Canada, $75.00 to compensate for local transportation costs at the place of duty in Canada where an employee does not have access to a PMV.

(F) Costs of authorized stopovers, to reflect costs which would be approved for stopovers when the employer makes the arrangements for relocation travel, for meals, accommodation, one incidental expense allowance and local transportation between the airport and the hotels.

(G) This option is not available where an employee elects to use an entitlement under FSD 45 - Foreign service travel credit bank in conjunction with relocation travel.

15.04(c)

Transportation in exceptional circumstances

Where for logistical, operational or medical reasons the deputy head authorizes an alternative mode of transportation other than air for all or some portion of the employee's journey, reimbursement of actual and reasonable costs associated with such travel in accordance with this directive shall be authorized by the deputy head notwithstanding that such costs may exceed the cost of economy air travel. In such exceptional circumstances the employer shall make the necessary arrangements utilizing such mode(s) and standard(s) of travel as are deemed appropriate to the circumstances, having regard for the Travel Directive.

Travel via a circuitous route

15.05 Subject to the provisions of this directive, if an employee chooses to travel to a new place of duty by a circuitous route, the deputy head may authorize payment of relocation expenses up to the cost of the employee's entitlement as determined under Section 15.03 and vehicle shipment if applicable. Any additional expense is the personal responsibility of the employee, and any time required in excess of the travel time involved in the most practical and economical journey by air will be charged to the employee's leave credits.

15.06

(a) Stopovers

(i) In arranging the most practical and economical mode and route of travel, stopovers may be necessary. When travel is by air between Ottawa and posts, the itinerary may be arranged to provide stopovers at one or more locations in accordance with the Schedule agreed to by the National Joint Council Committee on Foreign Service Directives and as amended from time to time by the appropriate foreign service interdepartmental coordinating committee.

(ii) At the discretion of the deputy head, stopovers may be approved where necessary and reasonable for cross-postings or other approved travel under these directives.

(iii) Where an employee chooses to make personal relocation travel arrangements, reimbursement of expenses incurred for stopovers shall be authorized up to the amount which would otherwise be approved for stopovers where the employer arranges for relocation travel.

(iv) If a stopover is the result of a transportation delay, it is the responsibility of the employee to make representation to the carrier for payment of costs resulting from that stopover; where the carrier disclaims responsibility, the employee may claim actual and reasonable expenses for meals, accommodation and ground transportation only where transportation arrangements have been made by the employer (reference Section 15.03(g)).

(b) Rest periods

To alleviate fatigue caused by long journeys, overnight travel and time zone changes, wherever feasible, a suitable rest period shall be arranged between the time of arrival at the destination and the time the employee is required to report to work.

Temporary duty en route

15.07

(a) Where an employee is en route to or from a post and has an authorized stopover in order to transact official business, the deputy head may, in advance of such duty, authorize reimbursement of all necessary expenses as are considered appropriate in respect of each accompanying dependant. Full expenses for a dependant may be authorized for a period of up to seven days at any one location. For periods in excess of seven days, the deputy head may authorize payment of such expenses as are considered reasonable and justifiable according to the circumstances.

(b) The provisions of Section 15.07(a) also apply to situations where an employee, who is travelling under FSD 50 - Vacation travel allowance, and is accompanied by a dependant, is instructed to report for temporary duty during the period of authorized travel.

Instructions

1. For purposes of this section, accompanying dependant means a dependant:

(a) who was residing with the employee at the former place of duty and will be residing with the employee at the new place of duty; and/or

(b) for whom relocation expenses are authorized in accordance with Section 15.38.

2. Provisions related to travelling expenses for dependants on foreign language training en route to a post are contained in FSD 14 - Travelling expenses for dependants on foreign language training.

Guidelines

1. Where management discretion is exercised for periods in excess of seven days, the details shall be reported to the appropriate foreign service interdepartmental co-ordinating committee.

2. In applying this section, the deputy head shall take into consideration the circumstances of each case in order to determine the appropriate assistance. There may be situations where it would be practicable and economical to provide financial assistance for accommodation and/or living expenses for accompanying dependants at one location while an employee is required to visit several locations on temporary duty. In such situations it is left to the discretion of the deputy head to determine the kind and amount of assistance appropriate to the circumstances at the most reasonable cost to the public and with minimal inconvenience to the employee and family, up to the costs which would be authorized under this directive.

Accommodation while travelling

15.08

(a) Commercial accommodation

An employee shall be reimbursed actual and reasonable expenses for commercial accommodation authorized by the deputy head. The deputy head shall normally authorize an employee to stay in an establishment which is conveniently located and suitably equipped.

Guidelines

1. The use of luxury accommodation should be avoided. Where an employee chooses to make personal accommodation arrangements on relocation, the standard of accommodation shall be governed by the standards established by the Post in the country where travel is being undertaken and, where considered excessive by the employer, may be subject to confirmation by that Post.

2. Many hotels throughout the world provide a reduced rate to government employees, particularly holders of diplomatic and special passports. Upon registering at a hotel, an employee should enquire whether a special rate is available.

3. When an employee makes a change in the commercial accommodation arranged by the employer, any additional costs shall be the responsibility of the employee unless approved by the deputy head.

4. Whenever cost beneficial, arrangements should be made for accommodation at facilities offering self-contained units at weekly or monthly rates.

(b) Private accommodation

Although normally expected to use commercial accommodation, an employee may make arrangements for private overnight accommodation with a relative or friend. When an employee or dependant makes such arrangements, reimbursement shall be as indicated in the Foreign Affairs and International Trade's monthly Schedules to Foreign Service Directives and Meal Rates, which shall reflect the dollar amounts authorized by the Travel Directive and the Relocation Directive, as amended from time to time.

Meals and other expenses while travelling

15.09 Reimbursement shall be made for expenses for three meals daily for an employee and each accompanying dependant and for other expenses while travelling, as authorized by the Travel Directive and the Relocation Directive and as indicated in the Foreign Affairs and International Trade's monthly Schedules to Foreign Service Directives and Meal Rates. An employee shall not be paid a meal allowance for any meal provided en route by the airline or other carrier, unless such meals are served outside normal meal hours, or full meals are not served, in which case the employee may claim for a supplemental meal. Reimbursement shall be on proof of payment, and shall not exceed the prescribed allowance for the appropriate meal. In claiming reimbursement for meals and other expenses while travelling, employees may claim:

(a) the appropriate daily meal allowance(s) for the employee and each accompanying dependant plus actual and reasonable other expenses with receipts, or

(b) the daily composite allowance (meals and incidental expenses) for the employee plus the appropriate daily meal allowance for each accompanying dependant except that where an employee claims under this section, a claim may not be made for laundry, dry cleaning and/or valet services and attendant gratuities under Section 15.10.

Instructions

1. The meal allowance authorized for a child, based on the allowance for an adult, is as follows:

(a) In Canada and the United States

(i) up to 12 years of age - ½ daily amount

(ii) 12 years of age and over - full daily amount

(b) Outside Canada and the United States

(i) up to 4 years of age - ½ daily amount

(ii) 4 years of age and over - full daily amount.

2. Meal allowances and incidentals authorized under this section for Canada and the U.S.A. are payable at the rates shown in Appendix C of the Travel Directive, as amended from time to time, and indicated in the Foreign Affairs and International Trade's monthly Schedules to Foreign Service Directives and Meal Rates.

3. Meal allowances and incidentals authorized under this section outside Canada and the U.S.A. are payable at the rates shown in Appendix D of the Travel Directive, as amended from time to time, and indicated in the Foreign Affairs and International Trade's monthly Schedules to Foreign Service Directives and Meal Rates.

15.10 When claiming for expenses under this section, an employee should refer to FSD 15.44. Where a physically disabled traveller is required to pay for special assistance in travel (e.g. taxi driver or porter), these costs will be reimbursed as additional incidental expenses, provided they are clearly reasonable and necessary. Receipts should be provided when obtainable.

(a) Taxis - The use of taxis may be authorized by the deputy head when airport bus/limousine or public transit service is not available or practical. Claims for taxi charges must indicate starting point and destination, the purpose and cost of each trip.

(b) Traveller's Cheques - An employee may claim the actual costs incurred in purchasing and cashing a reasonable amount of traveller's cheques.

(c) Converting Foreign Currencies - An employee may claim the actual costs incurred in converting foreign currencies purchased from a travel advance.

(d) Laundry - Actual and reasonable expenses for laundry, dry cleaning and valet services may be claimed for the employee and each accompanying dependant, where an employee is not claiming incidental expenses under Section 15.09(b).

(e) Telephone Calls - An employee may claim expenses for necessary official telephone calls. The purpose of each call must be stated in the expense claim.

(f) Excess Baggage - Excess baggage charges are not normally reimbursed by the employer as provision is made in Section 15.13(d) for shipment of effects by air cargo and/or by sea. In unusual circumstances, however, the deputy head may authorize, prior to travel, excess baggage as accompanied luggage.

(g) Passports and Related Expenses - When an employee is relocated, the employer shall make the necessary arrangements to obtain passports, visas, inoculations, vaccinations, x-rays and certificate of health as may be required, at no expense to the employee. The services of Health Canada, Veterans Affairs or National Defence shall be used for medical services where possible.

(h) Gratuities - An employee may claim actual and reasonable gratuities related to travel, except that gratuities related to meals are included in the daily meal rates.

(i) Insurance - Employees may claim reimbursement of the cost of insurance to cover repairs to or replacement of lost or damaged luggage while travelling, except where such coverage is provided by the carrier. (Ref. Guideline 2)

Guidelines

1. Unusual circumstances in Section 15.10(f) would not normally include transferring from a piece rate to a weight limit for a portion of the trip. If any leg of the travel is on a weight limit basis, an employee must travel within the limit but might seek authority for an air freight shipment in accordance with Section 15.13(d).

2. Provisions for compensation for damage and/or loss of accompanying baggage, which is in excess of carrier liability or personal insurance, is found in Section 15.19.

Illness or injury while travelling

15.11

(a) Reimbursement may be made for the use of an ambulance or taxi, as the deputy head deems appropriate under the circumstances, if an employee or a dependant becomes ill or is injured while travelling to the new place of duty and the deputy head is of the opinion that the nature of the illness or injury necessitated the use of an ambulance or taxi to a hospital, or a taxi to the hotel.

(b) An employee may also be reimbursed necessary expenses caused by the illness or injury to the extent the deputy head is satisfied the expenses were additional to those which might have been incurred had the employee not been absent from the place of duty and which are not otherwise payable to the employee under an insurance policy, the Government Employee's Compensation Act, or other authority.

(c) When, in the opinion of the attending physician, an employee's condition resulting from illness or injury while travelling to the new place of duty warrants the presence of the next-of-kin or a representative of the family, the deputy head may authorize payment of:

(i) actual and reasonable return travelling expenses for such person to the location of the employee, minus return travelling expenses between the location of the person who is travelling and the headquarters city; and

(ii) actual and reasonable accommodation expenses at the location of the employee for any reasonable period as determined by the deputy head.

Guideline

In considering travel for the next-of-kin or a representative of the family, the deputy head shall take into account the possible need for legal authorization for medical or surgical procedures or health care and shall attempt to ensure that the person travelling possesses the appropriate legal responsibility.

Death while travelling

15.12 If an employee or a dependant dies while travelling to a new place of duty, the deputy head shall authorize payment of expenses in accordance with FSD 66 - Death abroad of an employee or dependant except that where the body is not transported, travel for the next-of-kin to the place of burial may be authorized as in Section 15.11(c).

Relocation of Household Effects

Shipment and storage of household effects

15.13

(a) On relocation to a post or between posts

When an employee is relocated to a post or between posts, the deputy head shall authorize and arrange shipment of all or part of the employee's household effects to the new place of duty, as follows:

(i) with respect to those household effects authorized for shipment, the deputy head shall approve for payment the actual and reasonable expenses for packing, crating, cartage, transportation, incidental storage for a period not exceeding twelve months, and unpacking;

(ii) with respect to those household effects not authorized for shipment, the deputy head shall make the necessary arrangements and approve for payment the actual and reasonable expenses for packing, crating, cartage and storage of such effects and, if necessary, transportation expenses to the employee's headquarters city or the nearest place where the deputy head determines suitable storage facilities exist;

(iii) whether or not a PMV is shipped under Section 15.17, the deputy head may authorize payment:

(A) of actual and reasonable storage costs, including insurance and a one-time preservation fee for such services as removing battery, raising PMV off tires, applying lubricants as required, etc. for commercial storage of the employee's PMV, where the "Canadian Red Book" value of the vehicle exceeds the estimated cost of storage for the posting period; or

(B) up to $30 per month, including insurance, for private dead storage, such amount to be adjusted from time to time, in accordance with the corresponding provisions of the Relocation Directive for private dead storage of a PMV, and indicated in the Foreign Affairs and International Trade's monthly Schedules to Foreign Service Directives and Meal Rates where the estimated cost of storage for the posting period exceeds the "Canadian Red Book" value:

(iv) at the discretion of the deputy head, an employee on cross-posting may be allowed:

(A) a supplementary shipment from the employee's headquarters city or third location, to the employee's post, provided that the total shipments do not exceed the weight limitations as prescribed in Section 15.14(a). This will apply to situations such as, but not limited to, a move to a significantly different climate requiring different clothing, or where food and other supplies must be brought to the post.

(B) a shipment to the headquarters city from the former place of duty of effects which will not be needed at the new place of duty. If the Deputy Head does not agree to a shipment to Ottawa for cost reasons, the employee shall not be penalized for overweight for these excess goods going to and/or from the new place of duty.

Instructions

1. Subject to the limitations in Section 15.20, the Government self-insures effects stored commercially at government expense to a value at the time the effects are removed from storage not exceeding $120,000. The employee may submit a claim for damage and/or loss, in accordance with Section 15.18, provided an inventory of effects has been filed prior to their storage.

2. Compensation for damage and/or loss to vehicles in storage is limited to the "Canadian Red Book" value on entry into storage, within the maximum amount of $120,000, and does not include compensation for corrosion or natural deterioration.

3. Where, during an assignment outside Canada, an employee acquires furniture and household effects and/or a PMV as a result of an inheritance, the deputy head shall exercise managerial discretion under Section 15.42 to authorize payment of all or a part of the storage costs only, incurred either in or outside Canada, of such effects until the employee is assigned to duty in Canada. With the agreement of the appropriate foreign service interdepartmental coordinating committee, inheritance may also include personal and household effects transferred from parent(s) who move from a family residence into an elder-care facility. With respect to storage of an inherited PMV, provisions in Section 15.13(a)(iii) will apply.

4. Where, for reasons attributable to employee choice, more than one trip is made to the employee's residence for packing and crating of household effects, the employee shall be responsible for those costs which would not have been incurred had the packing and crating been done on one occasion only.

5. When, following notification of an assignment outside Canada, an employee chooses to ship household effects, for the use of a member of the employee's household, to a temporary residence which is directly and solely attributable to the relocation, the deputy head may exercise managerial discretion under Section 15.42 to authorize for payment the actual and reasonable expenses for packing, crating, transportation and unpacking (including in-transit insurance) of such effects and their return to the employee's principal residence, up to the cost that would otherwise have been incurred for the packing, crating, cartage and commercial storage of the effects in the employee's headquarters city.

6. Where, at the request of an employee, household effects which were not placed in long-term storage in accordance with Section 15.13(a)(ii) at the time of the employee's relocation are later placed in long-term storage during the employee's assignment outside Canada, actual and reasonable expenses for packing, crating, cartage and storage may be authorized by the deputy head to the extent that such expenses do not exceed the expenses that would otherwise have been incurred had these effects been placed in long-term storage at the time of the employee's relocation.

(b) Subsequent shipment of household effects

(i) Subject to the overall weight limitations of Section 15.14, the deputy head may authorize shipment and approve for payment the actual and reasonable expenses for packing, crating, cartage, transportation and unpacking of essential household effects requested within six months from the date of the employee's occupancy of permanent accommodation at the post, subject to the overall weight limitations of Section 15.14.

(ii) Except as provided for in Section 15.13(b)(v), shipment of effects after expiry of this time limit shall only be authorized where there is an increase in the number of the employee's dependants, for example, birth or adoption of a child, or replacements for inventory items lost at the place of duty as a result of fire, theft or other calamity.

(iii) Payment of shipping charges may not exceed the charges that would apply if the shipment were made between the employee's headquarters city and the post.

(iv) Shipment of effects of a dependent student who joins the employee at the post may be authorized under FSD 35 - Education travel.

(v) Notwithstanding Section 15.13(b)(i), a subsequent shipment of personal and/or household effects shall be authorized for employees who are returning to a level III, IV or V hardship post in accordance with the provisions of FSD 50.06.

Guidelines

1. Where a shipment is authorized under Section 15.13(b)(ii) because of an increase in the number of the employee's dependants, the total quantity of effects shipped shall be based on the weight limitation in Section 15.14 applicable to the employee's new household size.

2. Where a shipment is authorized under Section 15.13(b) to replace inventory items lost in transit to a post or lost at the place of duty, such subsequent shipment shall not exceed the weight limitations specified in Section 15.14, and the total quantity of effects shipped on relocation from the employee's post shall remain subject to Section 15.14.

(c) On relocation from a post to a place of duty in Canada

When an employee is relocated from a post to a place of duty in Canada, the deputy head shall make the necessary arrangements and approve for payment the actual and reasonable expenses for packing, crating, transportation, unpacking, and incidental storage of household effects for a period not exceeding twelve months or until the employee moves into permanent accommodation, whichever is earlier.

(d) Modes of shipment

(i) The household effects authorized for shipment to an employee's new place of duty shall be shipped using the most practical mode and route. Effects shall be shipped by surface means, by air cargo or by a combination of both modes as determined by the deputy head. In determining the mode of shipment the deputy head shall take into account anticipated costs of temporary shelter, available shipping facilities and conditions at the new place of duty.

(ii) In exceptional cases, the deputy head may authorize limited excess baggage or accompanied air freight, as appropriate, for example, where:

- access to the air shipment may be delayed;

- there may be an extended stay in temporary accommodation; or

- there is a need for more clothing because of a significant change in climate.

(e) Restrictions applying to shipments

(i) When a removal at public expense has been authorized in accordance with the foregoing, an employee may include all household effects, subject to the limits of Section 15.14.

(ii) The following is a representative listing of items which shall not be moved at public expense in accordance with the Relocation Directive:

- items which by law or tariff restriction may not be moved with household effects, for example, fuel, explosives, ammunition, corrosives, flammable liquids, aerosols, home brew, cooking oil (See Guideline);

- goods requiring climatically controlled conditions;

- building materials, patio stones, cement blocks, outdoor barbecues (brick, cement or stone);

- boats (except where sufficient space is available in the container authorized for shipment of the employee's household effects, including the employee's PMV or motorcycle where this has been authorized for containerized shipment with household effects);

- aircraft and parts of aircraft;

- trailers;

- livestock;

- portable buildings (except when dismantled and accepted by the mover on a straight-weight basis);

- farm or construction equipment or machinery.

Guidelines

1. With respect to items which by law or tariff restriction may not be moved with household effects, it is incumbent on the employee, with the assistance of the deputy head, to make every reasonable effort to identify the extent to which effects may be accepted for shipment, to ascertain what restrictions if any apply in the country of origin and the country of destination and to resolve insurance, regulatory and permit requirements involved in the shipment of such articles. For international moves, conventions on protected species, national treasures, etc. must be observed as well as local laws pertaining to the export/import of controlled commodities, for example tobacco, alcohol, arms, plants, narcotics, etc.

2. Where an employee ships a PMV to a post and also includes a motorcycle in a shipment of household effects, the motorcycle may be subject to local law or regulation governing the importation of a second vehicle.

3. Notwithstanding the provisions of Section 15.14(b), shipment of an employee's boat to or from a post shall be limited to containerized shipment.

Weight limitations

15.14

(a) The total quantity of effects the deputy head will normally approve under Section 15.13 for shipment on each relocation at public expense shall not exceed the following weight limitations for the type of accommodation at the post.

No. of Persons in the Household	Furnished Accommodation	Unfurnished Accommodation
1	2700 kg net (5940 lbs)	4600 kg net (10,120 lbs)
2	3400 kg net (7480 lbs)	5300 kg net (11,660 lbs)
3	3700 kg net (8140 lbs)	5900 kg net (12,980 lbs)
4	4000 kg net (8800 lbs)	6500 kg net (14,300 lbs)
5	4300 kg net (9460 lbs)	7100 kg net (15,620 lbs)
6	4600 kg net (10,120 lbs)	7 700 kg net (16,940 lbs)
7 or more	4900 kg net (10,780 lbs)	8300 kg net (18,260 lbs)

(b) When effects have been authorized for shipment at public expense to a post, those effects shall be authorized for shipment and/or storage at public expense from that post.

(c) Where an employee chooses to ship additional effects to post at personal expense, the weight of these effects shall not be included in the weight entitlement on departure from post.

Guidelines

1. It is the employee's responsibility to stay within the weight entitlement prescribed in Section 15.14(a). An employee who exceeds the weight entitlement may be held accountable for any shipping and related charges attributable to the excess weight.

2. An employee shall be advised of the pre-shipment weight of effects. If these estimates indicate an overweight situation, the employee shall either take corrective action to reduce shipping weights to within the authorized limit or accept responsibility for overweight charges.

3. After arrival at post, the employee will be advised of the actual shipping weight of all shipments to post, and, where possible, the weight of any consumable goods component.

4. Prior to departure from post, an employee is expected to consider estimates provided for outgoing shipments by reference to the total weight of all incoming shipments and the purchase of personal and household effects while at post. It is the employee's responsibility to bring discrepancies to the attention of Mission management.

5. The employee's weight entitlement on departure from post shall be the greater of the actual weight shipped to post at public expenses, or the weight entitlement in accordance with Section 15.14(a), except that, in overweight situations, where the overweight was caused by the inclusion of consumable goods, the employee's authorized weight entitlement on departure shall be adjusted to reflect the greater of:

(a) the employee's normal weight limitation, or

(b) the total weight of all shipments to post at public expenses, less the estimated weight of consumable goods shipped to post.

6. Notwithstanding the provisions of Section 15.14(b), where a dependant moves back to Canada, the employee's weight entitlement will remain as the greater of the weight of all incoming shipments to the post at public expense, or the employee's weight entitlements on relocation to the post, in each case reduced by the weight of any shipments to Canada under FSD 35 - Education travel, or other FSD provision. This entitlement shall remain in effect until the employee returns to Canada, subject to any adjustment resulting from an increase in family size or a change from furnished accommodation to unfurnished accommodation on cross-posting.

7. In unusual circumstances, such as where packing material is heavier than normal, or there is evidence to indicate fault or negligence outside the reasonable control of the employee, the overall weight limitations referred to in Section 15.14 may be exceeded with the approval of the appropriate foreign service interdepartmental co-ordinating committee. Where applicable, a determining factor in considering an exception to the weight limitation would be the total weight of all incoming shipments. Where it can be clearly demonstrated that the employee could not have been aware of an overweight situation, or was advised too late to take corrective action, recovery of all costs related to the excess weight shall be waived. Where a weight limitation has been exceeded without prior approval, the employee may be held accountable for any shipping and related charges attributable to the excess weight.

8. The weight limits referred to in Section 15.14 are net amounts. Gross weight shall be determined by applying the following percentage factors for packing material:

Air shipment:	20%
Road Shipment:	15%
Overseas container shipment:	15%
Overseas wooden liftvan shipment:	30%

Preparation of inventory

15.15 If an employee's household effects are damaged or lost during relocation, no claim for such loss or damage may be made under this directive unless the employee has submitted a detailed inventory of items shipped and/or stored at public expense, to the deputy head prior to departure for the new place of duty.

Instruction

Inventories are essential to the damage and loss claims process, and are often necessary for customs purposes. The inventory may not be sufficient to substantiate ownership or value of specific items. Employees are advised to keep receipts, photos, or videos, of important, valuable and unique effects. Copies of appraisal reports for all items of value, and certificates of good working order for any appliances, electrical/electronic or mechanical equipment must be attached to the inventory to ensure adequate coverage.

Guidelines

1. Inventories should be separated into four sections: air shipments; sea or road shipments; long-term storage; and accompanying baggage.

2. Articles listed in the inventory should be described briefly, together with details regarding year of purchase, model and serial numbers if applicable, condition and replacement cost value in Canada at the time the inventory is prepared. Everyday household items, clothing, bedding/linen, kitchenware, appliances, furniture, furniture accessories, books, toys, etc. can be listed and valued either separately or in groups. The maximum payable for any item which is included in a group is $200.

3. Effects should be described as follows:

(a) General

Items which are valuable or unique or difficult to replace, such as works of art, hand-crafted rugs, antiques, etc. should be described in more detail. Current appraisal reports must be provided for all items over the specified limits, as outlined in Section 15.20(j), and should be attached to the inventory. It is also helpful to have photos or videos of valuable items on file in case of damage or loss.

(b) Crystal, porcelain, art objects etc. should be described with emphasis on breakable or damageable items, particularly those that have a high value in comparison to like items. For name-brand crystal, porcelain, silverware and similar items which are still available commercially, appraisal reports are not required. The brand, model and specific design of these items should be noted.

Any single item valued at over $1000, other than name-brand items, or any personally-crafted item valued at more than $200 should be supported by an appraisal report, with a copy attached to the inventory.

(c) Furniture, major appliances and carpets, particularly when they will be detailed individually on the mover's inventory, need not be described in detail, but make and model should be noted. Where appropriate, similar items can be listed as sets, ie 8 mahogany dining room chairs at $300 each. Items being shipped outside Canada and the U.S. should be described in more detail.

For any antiques, carpets or unusual items valued at over $1000, appraisal reports should be obtained and copies attached to the inventory.

(d) Appliances, electrical and electronic equipment should be described by make, model and serial number, unless they are unique or antique and valued at more than $1000, in which case a current appraisal report should be provided and attached to the inventory. No compensation will be provided for appliances and electronic or electrical equipment unless a certificate of good working order at the time of shipment or storage is attached to the inventory.

(e) Other effects, such as clothing, cooking accessories, regular glassware and china, books, CDs, sporting equipment, tools, etc, may be listed in groups.

4. Items excluded from insurance coverage by the Crown should be listed separately in the same manner to assist in arranging private insurance coverage on some or all of these articles in the event the employee wishes to arrange such coverage. These articles are listed in Section 15.20(j).

15.16 Blank

Shipment of private motor vehicle (PMV)

15.17 Subject to the provisions of this section, the deputy head may authorize shipment of one private motor vehicle (PMV), the primary purpose of which is for family conveyance. For purposes of shipment, PMV means a motorcycle (when not shipped as household effects), sedan, sports car, station wagon, mini van, pick-up or 4-wheel drive vehicle of three-quarter ton rating or less owned by or registered in the name of an employee or a dependant.

(a) When the deputy head is satisfied that the country to which an employee is about to be relocated:

(i) does not impose restrictive limitations on the size or other characteristics of the PMV to be shipped;

(ii) does not have vehicle operating laws or conditions that in the opinion of the deputy head make the operation of the employee's PMV significantly less safe than that experienced in Canada;

(iii) does not have prohibitive import duties or embargoes on the importation of private motor vehicles, or prohibitive disposal restrictions,

payment of the actual and reasonable expenses related to the crating, insuring and transporting of the PMV to and/or from the employee's post may be authorized.

(b) Expenses authorized under Section 15.17(a) shall not exceed the cost of crating, insuring, and transporting an employee's PMV from the old place of duty in Canada to the post, notwithstanding that the PMV may be shipped from a third location to the employee's post.

(c) Expenses authorized under Section 15.17(a) shall not exceed the cost of crating, insuring and transporting an employee's PMV from the post to the new place of duty in Canada, except that such expenses will only be authorized if the PMV is in the possession of the employee, or a dependant, at the post, prior to shipment.

(d) In cases of cross-posting, the expenses authorized under Section 15.17(a) shall not exceed the cost of crating, insuring and transporting an employee's PMV from:

(i) the employee's old place of duty to the new place of duty where the vehicle is shipped from the old place of duty, or

(ii) the employee's old place of duty in Canada to the new place of duty where the vehicle is shipped from a location other than the employee's former post, except where the deputy head determines, and advises the appropriate foreign service interdepartmental co-ordinating committee, that unusual circumstances warrant the waiver of this limitation.

(e) In determining the transportation entitlement under Section 15.04, the cost for PMV shipment shall be established in accordance with Sections (b), (c) and (d) above, but shall not exceed the estimated cost of shipping the vehicle from its location to the new place of duty.

(f) Payment of duties or taxes for which an employee may be liable at a post or in Canada in respect of a PMV shall not normally be authorized by the deputy head.

(g) Where the vehicle to be shipped exceeds the limits specified above, the deputy head may authorize actual and reasonable shipment expenses for such a vehicle to the limit of the maximum allowable.

(h) The deputy head shall not authorize shipment of a PMV which does not meet carrier specifications.

(i) The provisions of Section 15.17 may be applied to a PMV which is shipped directly from the manufacturer to a local dealer at the employee's post, notwithstanding that it is not owned by or registered in the name of the employee or dependant at time of shipment, in situations where the manufacturer will not ship directly to the employee. Reimbursement shall be limited to identifiable transportation costs, upon production of evidence satisfactory to the deputy head, for the purchase of a new PMV.

(j) The provisions of Section (i) may also be applied where, in the opinion of the deputy head, it is cost effective to purchase a new PMV from a local dealer, rather than pay directly for shipment of a PMV to a post.

Instructions

1. Where, through no fault or neglect on the part of the employee, an insurer does not accept liability for damage or loss of a PMV in transit, or the deputy head failed to take out appropriate insurance coverage, an employee may claim for compensation in accordance with Section 15.18, in addition to the limitations in Section 15.20(e), except that compensation shall be limited to that which would have been paid if an insurer had accepted liability.

2. An employee may claim for damage and/or loss to a PMV which has been shipped with household effects by van or container in accordance with Section 15.18, in addition to the limitations prescribed in Section 15.20(e), except that compensation shall be limited to that which would have been paid if an insurer had accepted liability.

3. It should be noted that employees may claim car rental expenses while awaiting shipment of a PMV at the new place of duty or following disposal or shipment of a PMV at the former place of duty, in accordance with Section 15.32.

4. If the maximum amount permissible under Section 15.32 is exhausted, the employee will be permitted to rent a replacement vehicle for a maximum of 30 additional days when a vehicle, which has been shipped at public expense, is damaged in transit.

5. Costs associated with customs duties, taxes and registration of a PMV, motorcycle, boat or trailer shipped as household effects are normally the responsibility of the employee.

Guidelines

1. The purpose of Section 15.17 is to allow an employee the use of a PMV during a posting.

2. The vehicle shipped from a post need not be the same vehicle which was shipped to the post.

3. The cost of crating shall only be authorized where crating is a requirement of the shipping and/or insurance company and documentary proof is provided.

COMPENSATION FOR DAMAGE AND/OR LOSS OF HOUSEHOLD EFFECTS AND/OR ACCOMPANYING BAGGAGE ON RELOCATION OR DURING LONG-TERM STORAGE.

Damage and/or Loss of effects shipped or stored at public expense

15.18 An employee may claim compensation for damage and/or loss of personal and household effects which have been shipped or stored at public expense, as follows:

General Provisions

(a) When an employee is relocated to or from a post outside Canada, household effects which have been authorized for shipment or storage at public expense are self-insured for damage and/or loss in excess of liability by carriers or other insurers, in accordance with the coverage and limitations specified in Section 15.20;

(b) If household effects are damaged or lost during shipment or storage, the employee may submit a claim to the Claims Administrator in accordance with Section 15.21 provided:

(i) an inventory of household effects prepared in accordance with the provisions of Section 15.15 was filed with the deputy head two weeks prior to the mover's pick up of effects;

(ii) before the articles were shipped or stored, the deputy head authorized shipment or storage at public expense; and

(iii) an intent to claim is sent to the last carrier and to the Claims Administrator within 30 days of receipt of effects.

Instructions

1. The intent of these provisions is to reflect, as closely as possible, current industry property loss-adjustment practice.

2. Damage and/or loss of effects acquired after submission of an inventory, or acquired in transit on relocation and authorized for shipment at public expense, must be supported by documentary evidence of purchase and a claim against the last carrier.

3. The damage and/or loss provisions apply equally to all shipments of household effects authorized under this directive, provided that an inventory of effects prepared in accordance with the provisions of Section 15.15 was filed with the deputy head two weeks prior to the mover's pick up of effects.

Intent to claim for damage and/or loss to household effects

(c) Where an employee anticipates claiming for damage and/or loss against the Crown:

(i) unless the total claim for damage and/or loss is under $200, notice of intent to claim for damage and/or loss pursuant to this section must be made by the employee to the last commercial carrier immediately on receipt of a shipment. If it is evident that the loss/damage was caused by a carrier or agent other than the last carrier, the employee shall claim against the responsible carrier or agent. The employee should also send a copy to the Claims Administrator, no later than 30 days after delivery of effects, which will also serve as intent to claim from the Crown;

(ii) claims under $200 do not require an intent to claim;

(iii) at a post, in the absence of an employee, Post administration shall undertake the action described in Section 15.18(c)(i), to be followed up subsequently by the employee, where a shipment is accepted by Post administration on behalf of, and prior to, the employee's arrival;

Guidelines

1. Any obvious damage or loss should be noted on the mover's inventory at the time of receipt. This is particularly important as claims for loss will normally require substantiation of a missing carton or item on the moving company's inventory/delivery receipt. Similarly, damage caused by water or mishandling is usually obvious and should be noted. It is also helpful to take photos or videos to document condition on receipt.

2. On receipt of the Intent to Claim, shippers should forward necessary forms, advise on procedures and any additional documents or information required to process a claim. Similarly, the Claims Administrator will advise the employee concerning any additional documents or information required to process a claim against the Crown.

Pro forma Intent to Claim against carrier

3. A pro forma Intent to Claim against a carrier might include the following wording, where the paragraph identified by a single asterisk (*) should be used only if damage/loss is over $2,000. The paragraph identified by a double asterisk (**) should be used in all instances where the shipment was received with visible damage or missing pieces.

Dear Sir/Madam,

Re: Shipment of Household Effects
(employee's name)
___________________________________________

Airwaybill (or Bill of Lading) No.
(number) of (date)
___________________ ________________

Further to the comments recorded on the delivery receipt when the above shipment was released by your company, I hereby wish to file a notice of intent to claim for the following losses and damage incurred:

Item
_________________________________________________________
_________________________________________________________

Nature of damage/loss
_________________________________________________________
_________________________________________________________

Preliminary estimated cost of replacement or repair
_________________________________________________________
_________________________________________________________

* In view of the amount of damage/loss incurred, I have requested my employer to engage the services of an insurance adjuster and a copy of this report will be available shortly.

** It would be appreciated if your representatives would let me know what further action I must take and the extent of your company's liability in this matter.

If you are refusing any or all liability because of the condition of the shipment when it was received by you, I request that you provide me with a copy of the transfer document recording the condition so that I may pursue this claim with the previous carriers.

Yours sincerely,

Claim Requirements

(d) Claims under $200

These should be submitted directly to the Claims Administrator, within 30 days of receipt of effects, and should include a brief description of the circumstances surrounding the damage or loss, a listing of items damaged and/or lost, a copy of the relevant inventory pages, and amount claimed.

(e) Claims over $200

Unless, in the opinion of the Claims Administrator, there are exceptional circumstances which justify an extension of the time limits specified in this Section and in Section 15.18(b) and/or 15.19(a) and (b), a claim for damage and/or loss of household effects must be submitted to the Claims Administrator within 90 calendar days of the date of notification submitted pursuant to Section 15.18(a) and must be supported by a completed claim form and attached documents containing the following information:

(i) the circumstances giving rise to the claim;

(ii) details on all claims for damage and/or loss, including nature of the damage, replacement cost value, age, and preference for repair, replacement or settlement on the basis of actual cash value, and amount claimed;

(iii) a copy of the moving company's delivery receipt detailing any apparent damage or missing items evident on delivery of effects;

(iv) a report on any settlement made by carriers and evidence that a claim for damage and/or loss has been submitted to the last carrier (except for claims under $200), unless it is evident that the loss/damage was caused by a carrier other than the last carrier, in which case the employee shall claim against the responsible carrier;

(v) a copy of appropriate pages of the inventory prepared and submitted prior to shipment or storage;

(vi) a report on any settlement made under a personal insurance policy.

Instructions

1. Claims for damage where the claimed amount is in excess of $1000 and a claims adjuster/appraiser has not yet been engaged should be supported by photos or videos.

2. Damaged items and associated packing materials must be kept until release has been authorized by the Claims Administrator.

Guidelines

1. In Canada and the U.S., the Claims Administrator will liaise with the carrier utilized by the employee to determine the carrier's liability and will pursue any claims on the employee's behalf.

2. Outside Canada and the U.S., employees are responsible for pursuing their claim with carriers, and for advising the Claims Administrator of any settlement, or negative response. The employee should ensure that a claim is sent to the Claims Administrator no later than 90 calendar days after the date of notification submitted pursuant to Section 15.18(b), even if the carrier has refused to cooperate or provide appropriate documentation.

3. Provisions for rental of a replacement vehicle, while a vehicle which has been shipped at public expense is damaged in transit and is being repaired, are found in Section 15.17.

Damage and/or loss to accompanying baggage on relocation

15.19

General Provisions

(a) When an employee

(i) is relocated to or from a post outside Canada;

(ii) is on temporary duty as part of relocation; or

(iii) relocates by car;

the Crown assumes the risk for damage and/or loss to accompanying baggage, to a maximum of $1000 per traveller, beyond the compensation provided by the carrier, credit card company or auto insurer, subject to the limitations of Sections 15.19(c) and 15.20, provided that:

(iv) an inventory of accompanying baggage showing replacement cost value in Canada at the time the inventory was prepared was filed with the deputy head two weeks prior to commencement of travel;

(v) effects acquired after submission of an inventory or acquired in transit on relocation and authorized for shipment at public expense are supported by documentary evidence of purchase;

(vi) a claim is submitted to the last carrier or other insurer as prescribed; and

(vii) once the last carrier or other insurer settles, or no later than 90 days after arrival at the new place of duty, a claim, for damage and/or loss is submitted to the Claims Administrator.

Claim for damage and/or loss to accompanying baggage

(b) Unless, in the opinion of the deputy head, there are exceptional circumstances which justify an extension of the time limits specified in this Section, a claim for damage and/or loss of accompanying baggage must be submitted within 90 calendar days after arrival at the mission and must be supported by a completed claim form and attached documents containing the following information:

(i) the circumstances giving rise to the claim;

(ii) the extent of the damage or loss;

(iii) the amount claimed in respect of each article;

(iv) a copy of the claim submitted to the carrier or insurer;

(v) a copy of the reply from the carrier or insurer outlining their liability and proposed settlement;

(vi) a copy of the police report detailing circumstances of damage and/or loss, where appropriate;

(vii) a copy of any settlement made under any personal insurance policy.

Guidelines

1. Employees are expected to claim first from travel agents, credit cards or homeowners insurance where such insurance for accompanying baggage is provided.

2. Except for claims under $200, the Claims Administrator will not finalize the claim until the carrier or insurer has settled, or denied liability.

3. The Claims Administrator will consider any settlement by other parties in determining compensation.

4. Damage and/or loss of effects acquired in transit on relocation must be supported by documentary evidence of purchase and a claim against the carrier.

Limitations to coverage of accompanying baggage

(c) In addition to the general limitations in Section 15.20, the following exclusions apply to accompanying baggage:

(i) damage to luggage which can be repaired;

(ii) loss of cellphones, laptop computers, cameras or other electronic equipment, although transit related damage to these items will be considered; and

(iii) damage and/or loss occurring while on circuitous travel, i.e. not official relocation travel as indicated on the application for accountable advance or non-accountable relocation allowance.

Limitations of compensation for damage and/or loss

15.20 In this directive:

(a) Actual cash value (ACV) takes into account the age, condition and expected life-span of the article, as determined by the Claims Administrator in accordance with good industry practice;

(b) Beauty Allowance is an allowance, not to exceed the actual cash value, to compensate for visible damage which does not affect the performance or function of the item;

(c) Repair is the restoration of an item to a serviceable condition at a cost not to exceed the replacement cost value;

(d) Replacement cost value (RCV) is the cost of replacement of a damaged or lost item with one of like kind and quality in Canada at the time of loss;

and

(e) The maximum amount which may be paid against a claim for damage and/or loss of household effects while in transit is the amount agreed to in the National Joint Council. In 2002, this is:

(i) $120,000 for employees occupying Crown-furnished accommodation; or

(ii) $140,000 for employees occupying unfurnished accommodation and shipping furniture; and

(iii) $120,000 for effects in storage at public expense;

reduced by any settlement received by the employee from a carrier/insurer.

(f) An employee who obtains personal insurance on specific household and/or personal effects which are excluded or exceed specific coverage provided by the Crown shall provide the Claims Administrator with a copy of the policy and an inventory of the items covered by the policy. An employee shall have no claim to compensation from the Crown for any item covered by a personal insurance policy. Where an employee does not submit an inventory of items covered by a personal insurance policy, the policy shall be deemed to cover all household effects and a claim against the Crown shall not be considered.

(g) The requirement to specify items covered by personal insurance does not apply if the coverage is for loss in excess of the Crown's liability, as specified in Section 15.20(e) above. In this case, the employee's personal policy would be for the full replacement cost value of household effects with a deductible equivalent to the Crown's liability as specified above.

(h) In line with good industry practice, the following conditions and exclusions shall be applied by the Claims Administrator in the processing of claims against the Crown for damage and/or loss:

(i) where an item is not being repaired or replaced, compensation shall not exceed the actual cash value at the time of loss;

(ii) where an item can be restored to serviceable condition, compensation shall not exceed the repair cost, up to the replacement cost value of the item;

(iii) where replacement cost value or actual cost value is authorized for item(s) which have been damaged and have not been repaired, the Crown retains the right to claim the original item(s) for salvage or disposal;

(iv) the cost of repair or replacement of appliances and/or mechanical, electrical or electronic equipment in storage necessitated by natural deterioration is limited to the actual cash value at time of entry into storage, but no claim will be considered unless the items were certified to be in good working order at the time of entry into storage;

(v) compensation for loss of artistic value is limited to a beauty allowance;

(vi) compensation for lost software will not be authorized unless there is evidence of official purchase or "certificate of authenticity", and only where the manufacturer will not replace free or at reduced charge; where replacement is offered at a reduced price, this may be claimed by the employee;

(vii) liability for alleged loss of effects designated for shipment and believed to have been placed into long-term storage in error is limited, at the discretion of the Claims Administrator, to $500 for items which must be replaced while on posting; this is not to prejudice the right to claim for loss of items which are not found in long-term storage on return to Canada;

(viii) claims for professional cleaning or pressing of garments will only be considered where there is clear evidence of fault or negligence beyond the employee's control and beyond the normal requirements for pressing expected with a move;

(ix) in the case of damage and/or loss to an article or articles which are part of a set, the measure of the damage and/or loss to such an article or articles shall be a fair and reasonable proportion of the total value of the set as determined by the Claims Administrator, but in no event shall such loss be construed to mean the total loss of the set.

(i) No reimbursement shall be made:

(i) for sums of money lost in transit;

(ii) in excess of $200 for personally created items (such as carvings, paintings, manuscripts, etc.), unless they are supported by receipts (eg framing) or have been professionally evaluated and a copy of the appraisal is attached to the inventory;

(iii) in excess of $1000, for valuable or unusual items such as art objects, porcelain, hand-crafted carpets, paintings, antiques, heirlooms, and collections, other than coin or stamp collections, unless they have been professionally evaluated, and a copy of the appraisal, which was obtained prior to shipment, indicating the condition and value of the item, is attached to the inventory;

(iv) for damage to items requiring climatic control ;

(v) for damage and/or loss of any type of liquid, foodstuff or cleaning products, or for any damage to accompanying effects due to leakage or spillage of these items;

(vi) for loss of commercial value as a result of damage to valuable items;

(vii) for articles excluded from insurance coverage by the Crown; these articles comprise:

1. furs;

2. coin or stamp collections;

3. jewellery, watches and set or unset gems;

4. articles for which an insurance company would not have assumed the risk.

(viii) where a motorcycle, which has been authorized and serviced for shipment as household effects, is damaged or lost, reimbursement for the cost of restoring the motorcycle to serviceable condition or the cost of replacement shall be limited to the "Canadian Red Book" value of the motorcycle at the time of shipment. (Ref. Section 15.17)

Instructions

1. Separate limits apply to effects authorized for storage ($120,000) and to effects authorized for shipment ($120,000 or $140,000) (Ref Section 15.20(e)).

2. It is not the intent of these provisions to compensate an employee for damage and/or loss of items intended for sale or commercial use. These items should be covered by a personal insurance policy.

Guideline

Where a professional evaluation or appraisal is not required for an item specified in Section 15.20(j)(ii) and (iii), such item should be described in sufficient detail, with supporting photos or videos if appropriate, to facilitate processing of a claim in the event of damage or loss.

Compensation for damage and/or loss under Sections 15.18 and 15.19

15.21 Subject to the conditions, limitations and exclusions of this directive, the Claims Administrator shall approve claims in excess of the liability accepted by the carrier/insurer, paid directly to the employee, as follows:

Claims up to 0

(a) The Claims Administrator shall approve claims of up to $200 which are submitted in accordance with Section 15.18(d) on the basis of replacement cost value.

Claims over 0 and under 0

(b) In the interest of efficient processing of claims for damage and/or loss of effects under Section 15.18 and/or 15.19 which do not exceed $500, the Claims Administrator shall approve:

(i) claims for reimbursement on the basis of the replacement cost value as listed on the employee's current inventory, without receipts for replacement items;

(ii) the cost of obtaining an estimate(s) of repairs to items damaged in transit or storage, and the cost, as evidenced by vouchers or reliable estimates, of restoring the article to serviceable condition; and/or

(iii) the cost of restoring the item to a serviceable condition, up to the replacement cost value of the damaged item;

provided that the claim is submitted in accordance with Section 15.18(c) and (e) and/or 15.19(b), and subject to the limitations of Section 15.20.

Instruction

While receipts for replacement items are not required in support of claims made under this section, the employer reserves the right to require invoices, receipts or other documentation from the employee to support the replacement cost listed on the inventory for the particular item for which compensation is being claimed.

Claims over 0 and under 00

(c) For claims over $500 and under $5000, which have been submitted and documented in accordance with Sections 15.18(c) and (e) and/or 15.19(b), the Claims Administrator shall approve, as appropriate:

(i) the cost of obtaining an estimate(s) of repairs to items damaged in transit or storage, and the cost, as evidenced by vouchers or reliable estimates, of restoring the article to serviceable condition;

(ii) the cost of restoring the item to a serviceable condition, up to the replacement cost value of the damaged item;

(iii) actual cash value, where it is not economical to repair an item (costs exceed replacement cost value) and the employee chooses not to repair or replace the item;

(iv) replacement cost value in Canada, where goods cannot be restored to serviceable condition and are replaced, or where essential items are replaced outside Canada, an amount up to the replacement cost value in Canada, plus an amount up to the shipping cost between Canada and the post, plus applicable sales taxes;

(v) a beauty allowance, not to exceed the actual cash value of the item, where effects have minor damage which does not affect operation or function;

(vi) actual cash value where effects cannot be restored to serviceable condition and are not replaced;

where such amounts shall be determined:

(vii) at the time the inventory was prepared, in respect of goods lost or damaged in transit to or from a post when shipped in accordance with Section 15.13; and/or

(viii) at the time the goods are removed from long-term storage for effects which have been stored in accordance with Section 15.13(a)(ii) or 15.13(c), except as noted in Section 15.20(h)(iv);

except that:

(ix) a claim may be approved on an interim basis in accordance with sub-section (vi) above, and final settlement made in accordance with sub-section (iv) above, when effects are replaced.

Instructions

1. The Claims Administrator may appoint a claims adjuster/appraiser whenever this is deemed necessary to effect settlement of a claim.

2. Where an employee replaces an article which has been lost or which cannot be restored to serviceable condition, the employee shall be reimbursed the amount plus applicable taxes required to replace the lost article with another article of "like kind and quality". For example:

(a) An electric hand mixer with a RCV of $30 is lost; the employee purchases a new electric hand mixer and is reimbursed the full purchase cost of $30, plus applicable sales taxes, upon production of a receipt;

(b) An electric hand mixer with a RCV of $30 is lost; the employee chooses to replace the mixer with a food processor at a cost of $250. Upon production of a receipt, the employee would be reimbursed $30, plus applicable sales taxes, which is the RCV of the item which was lost, which could then be applied to the purchase of the food processor;

(c) An electric hand mixer with a RCV of $30 is lost; the employee chooses not to replace the mixer but instead to purchase an iron; compensation would be limited to the Actual Cash Value.

3. The case of a computer is damaged, but the computer continues to operate normally. In line with normal loss adjustment practice, a beauty allowance would be considered.

4. Where an article is damaged and is repaired, reimbursement will be made for the cost of repairs up to the replacement cost value, plus applicable sales taxes. Repair costs in excess of that amount will be the employee's responsibility.

Guideline

Where a claim is settled on an interim basis pursuant to Section 15.21(c)(ix) and goods are not immediately replaced, an employee, on written request, shall be given a reasonable time, up to 180 days after return to Canada, to effect replacement of articles for which compensation has been approved, in which case final settlement would be on the basis of Section 15.21(c)(iv). Where an employee does not so request, settlement shall be made in accordance with Section15.21(c)(iii), (v) and (vi).

Claims over 00

(d) Claims over $5000 will be settled in the same manner as described in Section 15.21(c), but will normally be processed upon receipt of a written appraisal by a professional claims appraiser/adjuster engaged by the Claims Administrator. The Claims Administrator may request the assistance of the Post in locating reputable commercial claims adjusters.

15.22 Blank

15.23 Blank

Independent appraiser

15.24 When difficulties are encountered in assessing an employee's claim for damage and/or loss to personal and/or household effects, the services of an independent claims adjuster/appraiser may be authorized by the Claims Administrator for advisory purposes to determine the extent of damage and/or loss and to recommend compensation in line with industry practice.

Guideline

Each Post shall maintain a roster of acceptable commercial claims adjusters/appraisers.

Accountable advance pending settlement of a claim (Sections 15.18 and 15.19)

15.25

(a) Pending settlement of a claim for damage and/or loss to effects stored, accompanied or shipped at public expense, the Claims Administrator, without prejudicing the settlement of claims, may authorize an accountable advance to the employee not to exceed the actual cash value of the lost or damaged effects.

(b) Any advance made to an employee and any compensation received by the employee from a third party shall be recovered from the employee or taken into account in making final settlement of the claim.

(c) More than one advance payment may be made to an employee provided that:

(i) the total amount of all advances does not exceed the actual cash value of claimable items, or

(ii) the employee has accounted for an advance and is requesting a subsequent advance for the purchase of replacement items, up to the actual cash value of the outstanding claimable items.

Guideline

1. The time limits specified in FSD 4 - Accountable advances shall not apply to accountable advances made pursuant to Section 15.25.

15.26 Blank

Other Relocation Expenses

15.27 Blank - Provisions related to leasing agreements have been transferred to FSD 16 - Assistance for a principal residence, effective June 01, 2003.

15.28 Blank

15.29 Blank

Househunting trips (HHT)

15.30 When an employee is notified of a relocation to a new place of duty where Crown-held accommodation will not be available, the deputy head may authorize, for the employee and/or spouse or common-law partner:

(a) payment of return travelling expenses from the present place of duty to the new place of duty; where travel by private motor vehicle (PMV) is authorized, the rate paid shall be the lower kilometric/mileage rate unless it can be shown that travel by PMV at the rate for travel under the NJC Travel Directive is less costly than commercial transportation or car rental; parking, ferry and toll charges shall also be reimbursed, as appropriate; when transportation is by PMV, car rental or other transportation expenses shall not be reimbursed; (revised July 1, 2005)

Instruction

1. Private vehicle travel shall not normally be authorized when the travel distance exceeds 650 kilometres by road.

2. For purposes of Section 15.30(a), the lower kilometric/mileage rate is established by the Deputy Minister of Foreign Affairs by adjusting the Lower Kilometric/Mileage Rate applicable to Ottawa (as approved by the National Joint Council and quoted on the Treasury Board of Canada Government Travel web site http://www.collectionscanada.gc.ca/webarchives/20071116092842/http://www.tbs-sct.gc.ca/pubs_pol/hrpubs/TBM_113/cad-datq-a_e.asp), to exclude the fuel/gasoline component of that rate and replace it with a component based on the fuel/gasoline cost incurred by the employee at the post; (revised July 1, 2005)

(b) payment of living expenses at the new place of duty for a maximum of seven consecutive days (up to eight nights)

(c) payment of actual and reasonable local transportation expenses or car rental costs during a HHT to Canada, as follows:

(i) the cost of a rented car (compact), including kilometric (mileage) rate, or

(ii) the kilometric (mileage) rate under the Travel Directive for use of a PMV, or

(iii) public transportation costs not to exceed the cost of car rental,

for a period of up to seven days;

(d) payment of local transportation expenses during a HHT to a post by the most practicable and economical means as determined by the deputy head for a period of up to seven days; this could include taxis or in the case of car rental, a vehicle other than a mid size car, depending on post conditions;

(e) payment of dependant care expenses incurred by employees who are single parents or whose spouses or common-law partners accompany them on the HHT, for dependant(s) under 18 years of age who reside permanently with the employee where these are in excess of any existing child-care arrangements. The employee shall be reimbursed actual and reasonable dependant care expenses:

(i) up to a daily maximum of $35 Canadian, per household, with a declaration, or

(ii) up to a daily maximum of $75 Canadian, per household, with a receipt,

except that,

(iii) where expenses for dependant care are incurred at a post, the maximum amount may be exceeded on the recommendation of the appropriate foreign service interdepartmental co-ordinating committee.

(f) payment of one or more telephone calls during a HHT to dependant(s) at the former place of duty, station-to-station, at reduced evening rates, to a total maximum of fifteen minutes if unaccompanied and three minutes if accompanied, with deputy head discretion to extend the three minute limitation in unusual circumstances acceptable to the deputy head, such as illness of a dependant; telephone calls may not be claimed where an employee is receiving an incidental expense allowance for travel within Canada or the U.S.A;

(g) travelling time to and from the new place of duty where it is not possible for the employee or the employee's spouse or common-law partner, who is also an employee, to travel during non-working hours;

except that:

(h) an extension of the time limits and related expenses under Sections 15.30(b), (c), (d), (e) and (f) may be authorized where in the opinion of the deputy head additional time is required at the new place of duty to conclude leasing arrangements; and

(i) where transportation costs are not incurred for a HHT, the deputy head may authorize reimbursement of those local transportation expenses and dependant care expenses which would be authorized for a HHT, while in receipt of family separation expenses or in conjunction with relocation travel; and

(j) where transportation costs are not incurred for a HHT, the deputy head may authorize payment of those living expenses, local transportation and/or dependant care expenses which would be authorized for a HHT, where it would be cost-effective to authorize such expenses in conjunction with other travel, such as temporary duty, foreign service travel or vacation travel;

(k) where transportation costs are not incurred for a HHT, the deputy head may authorize payment of living expenses and/or dependant care expenses for a dependent child where it would be cost-effective to authorize a HHT in conjunction with other travel;

(l) where there are children who, because of a permanent disability, require the full-time care of a parent, the deputy head may authorize commercial transportation costs only for such children to accompany their parents on the house-hunting trip.

Instructions

1. Househunting trips (HHT) are not an entitlement. Authorization by the deputy head shall only be granted in cases where it can be reasonably demonstrated that the proposed HHT is cost-effective. The standard for air travel is economy class and this includes APEX, charters and other reduced fares. The lowest available airfare appropriate to a particular itinerary shall be sought when making bookings. Discount and reduced fares shall be selected prior to full fare economy where these rates are available. Significant savings can be realized if flights are booked as far in advance as possible.

The various restrictions on benefits which may apply to certain special fares must be taken into account. The possibility of increased travel costs occurring through the payment of additional living expenses to the employee should be taken into consideration in order to meet the conditions of the carrier's special fare.

2. When a HHT has been used, the period of time an employee may claim for temporary accommodation pursuant to Section 15.33 shall be reduced by the number of days spend on a HHT.

3. An employee, and/or an employee's spouse or common-law partner, who is also an employee, shall not be debited annual leave for the time spent on a HHT. In addition, compensation shall not be authorized for any overtime associated with the HHT.

4. An employee who has taken a HHT and who subsequently does not relocate shall not be required to reimburse the expenses incurred for the HHT.

5. Where accommodation is to be leased by the Crown, an employee may, at the discretion of the deputy head, be granted a HHT to locate such accommodation at the post, where it can be reasonably demonstrated that the proposed HHT is cost-effective.

6. The provisions for dependant care under Section 15.30 also apply to joint custody situations where the dependant qualifies as a dependant or dependent student under the provisions of FSD 2 - Interpretation. Depending on the terms of the joint custody agreement, dependant care assistance shall not normally be provided where the child's other parent resides in the same location as the child who requires dependant care.

7. Receipts for costs incurred under Section 15.30(e) shall include the cost, dates of employment, and the sitter's/company's name and phone number, as well as the sitter's social insurance number (where applicable).

8. The dollar amounts specified in Section 15.30(e) shall be amended from time to time to reflect the dollar amounts authorized by the Travel directive; any such change shall be indicated in the Foreign Affairs and International Trade's monthly Schedules to Foreign Service Directives and Meal Rates.

Incidental relocation expense allowance

15.31 In recognition of those incidental relocation expenses which are directly and wholly attributable to the relocation and which are not otherwise payable under a specific payment authority of the Foreign Service Directives, the deputy head shall authorize an incidental relocation expense allowance of $2,600 per relocation, for which receipts are not required, except that, in cases of short-term relocations outside Canada and the U.S.A., the employee shall have the option: (revised April 1, 2007)

(a) to claim actual and reasonable expenses not to exceed $2,600, for which receipts are required, or (revised April 1, 2007)

(b) to be granted an incidental relocation expense allowance of $250 for which receipts are not required.

Instructions

1. The dollar amount specified in Section 15.31 shall be adjusted annually on April first in accordance with the methodology agreed to in the National Joint Council Committee on Foreign Service Directives.

2. Where an employee claims actual and reasonable incidental relocation expenses, a representative list of admissible expenses may be found under FSD 15 "Submission of Expense Claims" of the 1989 Foreign Service Directives.

Guidelines

1. The intent of Section 15.31 is to compensate an employee, to the maximum amount established, for those incidental relocation expenses which are directly and wholly attributable to the relocation.

2. Whether or not an accountable advance has been issued in anticipation of expenses incurred under Section 15.31(a), an employee's claim for incidental relocation expenses will normally be honoured up to four months following occupancy of permanent accommodation.

Car rental expenses

15.32 An employee who is awaiting the arrival of a PMV which is being shipped to the new place of duty in accordance with the provisions of this directive and/or who has disposed of a PMV prior to departure from the old place of duty, may claim car rental expenses, or taxi expenses with receipts, at the old and/or new place of duty, as applicable:

(a) up to a maximum of $868 per relocation, for relocations to and/or from Canada; or (revised April 1, 2007)

(b) up to a maximum of $1,301 per relocation, for relocations from one post to another post, (revised April 1, 2007)

(c) up to a maximum of $868 per relocation, for relocations from one post to another post, in all other situations where an employee has disposed of a PMV which was in use at the old post or is awaiting shipment of a PMV at the new post. (revised April 1, 2007)

Instructions

1. The dollar amount specified in Section 15.32 shall be adjusted annually on April first in accordance with the methodology agreed to in the National Joint Council Committee on Foreign Service Directives.

2. At the discretion of the deputy head and conditional on the availability of Crown-held vehicles at a post, the provisions of FSD 30.01 may be extended to an employee whose PMV is being shipped to or from the post under Section 15.17. This discretion would normally be exercised at posts where local transportation is absent or inadequate.

Living expenses in temporary accommodation

15.33

(a) General

Living expenses in temporary accommodation are payable at the old and new place of duty for the period during which an employee is unable to occupy their assigned permanent accommodation. The period for which living expenses may be authorized shall be determined by the deputy head depending upon the availability and suitability of accommodation.

Except where otherwise specified, an employee shall be entitled to claim living expenses for a minimum of two days temporary accommodation at each of the old and new places of duty. It is the prerogative of management to judge the suitability and availability of permanent accommodation at the old and new place of duty. Where available at a post, Crown-held accommodation shall be used rather than commercial facilities.

An employee who has dependant(s) residing in the principal residence who are nine years of age or less may be reimbursed dependant care expenses for a maximum of four days per relocation while effects are packed/unpacked and loaded/unloaded. Dependant care assistance shall be limited to working hours, and shall be reimbursed in accordance with the dependant care provisions of this directive.

When authorized in advance, and subject to the specific provisions of this directive, actual and reasonable living expenses in temporary accommodation, if necessary, for an employee and each accompanying dependant, may be claimed as follows, for:

(i) Hotel Accommodation

- actual and reasonable accommodation expenses;

- incidental expenses as defined in Instruction 2; and

- reasonable expenses for meals up to the daily meal allowance.

(ii) Self-Contained Accommodation

- actual and reasonable accommodation expenses;

- incidental expenses as defined in Instruction 2; and

- reasonable expenses for meals in an amount not to exceed 80% of the applicable daily meal allowance (see Instruction 1) except that the full daily meal allowance may be claimed for two days.

(iii) Private Non-commercial Accommodation

- accommodation expenses in accordance with the Travel Directive for private non-commercial accommodation;

- incidental expenses as defined in Instruction 2; and

- reasonable expenses for meals in an amount not to exceed 80% of the applicable daily meal allowance (see Instruction 1) except that the applicable full daily meal allowance may be claimed for two days.

(iv) Permanent Crown-held Accommodation

- incidental expenses as defined in Instruction 2 and reasonable expenses for meals up to the applicable daily meal allowance may be claimed for two days.

Instructions

1. At a post, when an employee occupies temporary self-contained accommodation or private non-commercial accommodation and is authorized to claim living expenses beyond the two-day entitlement, post management shall establish a reduced amount for meals for periods beyond two days as an approximation of actual and reasonable food costs based on a fair assessment of local food costs and the facilities available in the temporary or private accommodation for the preparation and storage of food.

2. Incidental expenses may be claimed as follows:

(a) Outside Canada and U.S.A.

- 32% of the daily meal allowance, where there is a 3-meal allowance, or

- 40% of the daily meal allowance, where there is a 2-meal allowance, or

- 40% of actual and reasonable meal expenses, where there is no established meal allowance;

(b) Within Canada and U.S.A.

At the rates shown in Appendix C of the Travel Directive.

(c) In addition to the foregoing, living expenses may include the cost of parking for one PMV at an employee's temporary living accommodation if parking is not provided free of charge;

(d) Where an employee claims incidental expenses without receipts under this section, a claim may not be made for laundry, dry cleaning and/or valet services and attendant gratuities under Section 15.10.

(e) Where a physically disabled traveller is required to pay for special assistance in travel (e.g. taxi driver or porter), these costs will be reimbursed as additional incidental expenses, provided they are clearly reasonable and necessary. Receipts should be provided when obtainable.

3. Self-contained accommodation includes commercial self-contained accommodation and temporary Crown-held accommodation equipped with adequate furniture and appliances.

4. Living expenses in temporary accommodation at an employee's old place of duty are payable during the period immediately prior to the employee's departure that is required to remove the employee's household effects from permanent accommodation. This period will normally be two or three days depending on the quantity of household effects to be packed and shipped or stored, but a longer period may be required because of weekends, holidays or the inability of the moving company to pack on the requested dates.

5. The period during which living expenses may be claimed shall not normally be extended to accommodate an employee for a personal decision such as the sale of personally-owned accommodation, the terms of which require the employee to vacate prior to the scheduled departure. Similarly, temporary accommodation will not be authorized where the employee has vacated personally-owned accommodation to facilitate redecorating or repair work.

6. In situations that do not clearly fall under exceptional operational requirements but are unusual in nature and the employee demonstrates that every effort has been made to reach the most suitable arrangement in the circumstances, the period in temporary accommodation may be extended. Approval in these situations would be subject to the prior concurrence of the deputy head, on the recommendation of the appropriate foreign service interdepartmental co-ordinating committee.

7. An employee is entitled to two days living expenses in temporary accommodation at each of the old and new places of duty, unless:

(a) an employee chooses, and the employer agrees, to continue to occupy permanent accommodation until departure from the old place of duty, or to move into permanent accommodation immediately upon arrival at the new place of duty. In each of these situations, an employee may claim living expenses (which shall include a waiver of shelter cost under FSD 25 - Shelter) for two days, or

(b) an employee is maintaining a principal residence at the old place of duty or has established a principal residence at the new place of duty, which is occupied by a dependant at the time of the relocation. These situations occur, for example, when an employee accepts an assignment on an unaccompanied basis or where family separation expenses have been authorized. In these situations, where living expenses are not necessarily incurred as a result of the relocation, the two-day entitlement shall not apply.

8. When the 35-day period is exceeded prior to departure from Canada, the employee is subject to the applicable shelter cost from the third day following arrival at the post.

9. Where an extension of the period in temporary accommodation is approved at the old place of duty as a result of exceptional operational requirements (for example delays in agreement for Heads of Mission, unforeseen program requirements arising after an employee has made normal arrangements to vacate permanent accommodation which make it necessary to delay departure, or the requirement to vacate Crown-held accommodation to facilitate redecorating, renovations, repairs or other operational requirements) the days spent in temporary accommodation prior to departure from the old place of duty on the instruction of the deputy head, other than those days normally authorized for packing and removal of personal and household effects, will not count against the employee's allowable maximum.

10. Living expenses in temporary commercial or private accommodation shall normally be limited to the old and/or new place of duty. However, living expenses in temporary accommodation in a third location may be eligible for reimbursement where such arrangements serve the interests of management, are directly related to the facilitation of a specific departmental program and are approved in advance by the deputy head. In considering living expenses in temporary accommodation in a third location, the deputy head shall ensure that the reasons for such arrangements are clearly related to a specific program and that any personal benefit or advantage to the employee or dependant is incidental to the primary purpose. These reasons include, but are not limited to, early flight departures from a nearby city when either commercial or private accommodation may be approved, or facilitation of the ability of an employee and spouse to locate permanent accommodation at the new place of duty when private accommodation for one or more dependants (other than the employee's spouse) may be approved. Reimbursement shall be limited to the period during which the employee is occupying temporary accommodation and shall not exceed the costs which would be incurred if the dependants remained with the employee.

11. All allowances and incidentals in Canada and the U.S.A. are payable at the rates shown in Appendix C of the Travel Directive, as adjusted from time to time and indicated in the Foreign Affairs and International Trade's monthly Schedules to Foreign Service Directives and Meal Rates.

12. All allowances and incidentals outside Canada and the U.S.A. are payable at the rates shown in Appendix D of the Travel Directive, as adjusted from time to time and indicated in the Foreign Affairs and International Trade's monthly Schedules to Foreign Service Directives and Meal Rates.

(b) On relocation to a post

(i) Subject to Section 15.33(a), when authorized in advance, an employee may claim actual and reasonable living expenses in temporary accommodation, as outlined in this directive, prior to departure from the old place of duty and immediately following arrival at a post, for a total period of 21 days.

(ii) When an employee has claimed living expenses for a househunting trip, the number of days of the trip, exclusive of actual travel time, shall be deducted from the 21-day period.

(iii) When an employee precedes a dependant to a post, living expenses in temporary accommodation may be claimed in accordance with Section 15.34(c), Family Separation Expenses on Relocation to a Post. However, when a dependant arrives at the post, living expenses may be claimed, if necessary, for the employee and the dependant for a total period of 21 days, less the period for which living expenses in temporary accommodation were paid on behalf of the employee and/or dependant under Section 15.34(c).

(iv) Except where an employee is occupying private accommodation or temporary self-contained accommodation, upon expiry of the initial 21-day time limit specified above, the employee who is still unable to occupy permanent accommodation because, in the opinion of the deputy head, sufficient household effects are not available, or because suitable Crown-held accommodation is not available for occupancy, or for some other reason satisfactory to the deputy head, may claim actual and reasonable accommodation expenses, incidental expenses as defined in Instruction 2 following Section 15.33(a) and reasonable expenses for meals in an amount not to exceed 80% of the daily meal rate. Upon expiry of a further 14-day period, the employee who is still unable to occupy permanent accommodation, for reasons acceptable to the deputy head, shall be subject to the applicable shelter cost, in accordance with Directive 25.

(v) Upon expiry of the initial 21-day time limit specified above, the employee who is occupying private accommodation or temporary self-contained accommodation who is still unable to occupy permanent accommodation because, in the opinion of the deputy head, sufficient household effects are not available, or because suitable Crown-held accommodation is not available for occupancy, or for some other reason satisfactory to the deputy head, may continue to claim actual and reasonable accommodation expenses. Upon expiry of a further 14-day period, the employee who is still unable to occupy permanent accommodation, for reasons acceptable to the deputy head, shall be subject to the applicable shelter cost, in accordance with Directive 25. Where the employee's shelter cost exceeds the actual accommodation expenses, the employee shall not be subject to a shelter cost but shall instead be responsible for payment of actual accommodation expenses.

(vi) In all circumstances not described above, the employee shall be responsible for living expenses in temporary accommodation.

Instructions

1. An employee occupying permanent Crown-held accommodation equipped with adequate furniture, furnishings and appliances may claim living expenses for two days, only where living expenses have not been authorized in temporary accommodation following arrival at the post. In such cases, shelter cost will be assessed on the third day of occupancy. Where living expenses have been authorized in temporary accommodation following arrival at post, shelter cost will be assessed immediately on occupancy of permanent accommodation, if not assessed previously, in accordance with the provisions of this directive.

2. At a post outside the United States, when an employee occupies hotel accommodation for a period in excess of 21 days, because Crown-held accommodation is not available for occupancy, and the deputy head is satisfied that 80% of the applicable daily meal allowance is inadequate due to extremely limited restaurant facilities, such employee may be authorized to claim actual and reasonable expenses for meals, when supported by receipts, up to the applicable full daily meal allowance.

3. Notwithstanding the limitations of Section 15.33(b)(vi), but subject to the discretion of the deputy head, an employee who changes temporary self-contained accommodation or moves from temporary self-contained accommodation to permanent staff accommodation, may claim up to 80% of the applicable daily meal allowance for up to two days.

4. Where the deputy head authorizes more than five days in temporary accommodation prior to the employee's departure from the old place of duty, the details shall be reported to the appropriate foreign service interdepartmental co-ordinating committee.

5. For ease of reference, provisions governing living expenses in temporary accommodation at post are summarized in Appendix A to this directive.

(c) On relocation to a place of duty in Canada

(i) Subject to Section 15.33(a), when authorized in advance, an employee may claim actual and reasonable living expenses in temporary accommodation, as outlined in this directive, prior to departure from the post and immediately following arrival at the new place of duty in Canada, for a total period of 21 days.

(ii) When an employee has claimed living expenses for a househunting trip which has been successful, the number of days of the trip, exclusive of actual travel time, shall be deducted from the 21-day period.

(iii) When an employee is to be paid Family Separation Expenses under Section 15.34, the total period for which living expenses may be claimed prior to and following arrival at the new place of duty in Canada is limited to 7 days. However, when a dependant arrives at the new place of duty in Canada, living expenses may be claimed, if necessary, for the employee and the dependant for a total period of 21 days, less the period for which living expenses were paid on behalf of the employee prior to the arrival of the dependant.

(iv) Upon expiry of the initial time limit specified above, the employee who is still unable to occupy permanent accommodation, for reasons acceptable to the deputy head, may claim actual and reasonable expenses for accommodation and laundry for a further period of 14 days.

(v) Where permanent accommodation is available for occupancy, and, through no fault or choice of the employee or of a dependant, household effects are not available for delivery to that accommodation in the headquarters city, because of a delay in shipment or because arrangements could not be made for delivery of household effects on the occupancy date, the deputy head may authorize the payment of actual and reasonable expenses for accommodation and laundry for a period ending one day after delivery of the employee's household effects. (revised July 20, 2006)

Instruction

When an employee has finalized permanent accommodation arrangements or is encountering difficulty in obtaining permanent accommodation and self-contained temporary accommodation is available at a weekly or monthly rate, the employee shall so advise the deputy head and shall vacate higher priced accommodation as soon as possible.

Guidelines

1. When unusual conditions, such as extremely low vacancy rates, prevail and an employee encounters difficulty in obtaining permanent accommodation which can be occupied within the periods provided under Section 15.33(c), consideration will be given to exercise managerial discretion to approve any temporary accommodation expenses in excess of the employee's normal accommodation costs.

2. Expenses shall be limited to actual and reasonable expenses for accommodation and laundry, at an establishment approved by the deputy head, reduced by an employee share. Where an employee leases permanent accommodation, the employee share shall be the monthly rent as specified in the lease. Where an employee purchases permanent accommodation, the employee share shall be the shelter cost determined in accordance with FSD 25 - Shelter, where household size reflects the number of persons occupying temporary accommodation and annual salary reflects the employee's annual salary on the initial date of occupancy of temporary accommodation.

3. As leased accommodation normally becomes available on the first day of the month, assistance will be provided, where necessary, up to the first day of the second month following initial occupancy of temporary accommodation. Extensions to a total maximum period of 60 days may be considered where the employee arrives in the headquarters city near the end of a month, where arrangements for delivery of household effects cannot be made for the first day of a month, or where the leasing agreement specifies an occupancy date in mid-month. Unusual circumstances, such as illness of an employee or dependant and temporary duty outside the headquarters city during periods of temporary accommodation, which seriously affect the employee's ability to locate permanent accommodation, may be referred to the deputy head for special consideration, on the recommendation of the appropriate foreign service interdepartmental co-ordinating committee.

Family separation expenses (FSE)

15.34

(a) General

To assist an employee to temporarily maintain two residences, assistance may be provided, as outlined in this directive, in certain situations where an employee accepts an assignment on an unaccompanied basis or where an employee precedes a dependant to the new place of duty: and, where

(i) reimbursement of FSE shall be supported by a certificate in the following form signed by the employee or surviving dependant:

"I certify that I have incurred living expenses in maintaining my dependant(s) in a separate residence during the period from _____ to _____ as a result of family separation arising from my relocation and that these expenses are not otherwise payable under the Foreign Service Directives."

(ii) payment of FSE may be authorized by the deputy head in the following circumstances:

(A) where, for operational reasons, the deputy head directs an employee to accept an assignment on an unaccompanied basis, or to continue or extend an assignment where dependants have been evacuated under the provisions of FSD 64 - Emergency evacuation and loss and living expenses for the separated dependants are not being paid under that directive; the period would normally be up to the duration of the employee's assignment or extension, or such date as the deputy head authorizes a dependant(s) to join the employee at the post;

(B) where disruption of a dependant's education would occur; except as provided for in subsections (E), the period would normally be to the end of the relevant school term;

(C) where a dependant is ill and is unable to relocate with the employee; the period would normally not exceed nine months and would end not later than 14 days following the date that the attending physician certifies that the dependant is medically fit to travel;

(D) where a dependant remains at the former place of duty in Canada to arrange for disposal of the employee's principal residence; the period would normally not exceed nine months and would end on the day following the closing date of the Agreement of Purchase and Sale or the day following the commencement date of a rental agreement, whichever is applicable;

(E) where the family of an employee remains in Canada in order to avoid disruption of a dependent child's education at the primary or secondary level and the employee consequently accepts an assignment on an unaccompanied basis; the period would normally end when the child completes the final year of secondary education, or when the family relocates to the post, or on completion of the employee's assignment, whichever is earlier;

Instruction

Effective June 1, 2001, Sections 15.34(a)(ii)(F) and (G) have been transferred to FSD 17 - Assistance for spouses or common-law partners

(iii) in exceptional circumstances, if, as a result of factors outside the employee's control, the two residences must be maintained beyond nine months, the deputy head may approve a further maximum period of three months of assistance. In such cases the details shall be reported to the appropriate foreign service interdepartmental co-ordinating committee;

and

(iv) when FSE is being paid in respect of Section 15.34(a)(ii)(D), the employee must be able to demonstrate that active and realistic attempts have been made to dispose of the principal residence subsequent to confirmation of posting;

(v) FSE shall not be authorized where a dependant remains at the former place of duty, or at some other location:

(A) to dispose of income-producing property, or

(B) because of employment reasons, except as provided for under FSD 17 - Assistance for spouses or common-law partners, or

(C) because of the voluntary separation of the family for personal reasons, except as provided for under FSD 17 - Assistance for spouses or common-law partners, or

(D) to attend school, where the student was not residing with the employee prior to the relocation.

Instructions

1. Waiver of shelter cost and/or financial assistance is intended to offset the cost of maintaining the second residence. The employee remains responsible for one set of household expenses.

2. The waiver of shelter cost under Section 15.34(a)(ii)(E) recognizes the two rent situation an employee may face, and applies during the year(s) that the child is attending primary or secondary school in Canada, but does not apply if an allowance is paid for that child under FSD 34 - Education allowances.

3. Where less than three months remain in the employee's posting following completion of the child's final year of secondary education, the waiver of shelter cost may continue until the end of the employee's posting.

4. Nothing in Section 15.34(a)(ii)(E) precludes the family from relocating to the post, at which time the employee shall pay the appropriate shelter cost. Payment of relocation expenses for the family would not normally be approved if less than six months remain in the employee's assignment at the post.

(b) FSE on relocation to a place of duty in Canada

An employee may claim:

(i) living expenses in temporary accommodation for seven days on relocation to a place of duty in Canada under the provisions of Section 15.33 (c);

(ii) waiver of the applicable shelter cost in accordance with FSD25 - Shelter, with effect from the day of the employee's departure from the post;

(iii) the cost of one return trip to the former place of duty when the deputy head is satisfied that the employee's dependants require the assistance of the employee in travelling to the new place of duty; and

(iv) living expenses in temporary accommodation for seven days and waiver of shelter cost where the employee's dependants precede the employee on relocation to Canada.

(c) FSE on relocation to a post

Subject to the provisions of Section 15.34(a)(ii)(E), where applicable, an employee who accepts an assignment on an unaccompanied basis and for whom FSE has been authorized, shall be entitled to a waiver of shelter cost under FSD 25, Shelter, for the duration of the assignment, and/or as applicable;

pending the arrival of a dependant, and in lieu of the provisions of Section 15.33(b), an employee may claim living expenses in temporary accommodation for two days on arrival at post. In addition, following expiry of the initial two-day period:

(i) an employee may claim living expenses in temporary accommodation in accordance with Section 15.33, except that:

(A) where the employee precedes the dependant(s), expenses may not be claimed at the former place of duty;

(B) expenses for the dependant(s) at the former place of duty shall be limited to two days;

(C) the employee's shelter cost under FSD 25 - Shelter, shall be waived until the arrival of a dependant unless the employee and dependant(s) continue to occupy temporary accommodation in which case the shelter cost shall apply on the 36th day following initial occupancy of temporary accommodation; and

(D) an employee may claim an allowance of up to $420 per month, adjusted by the Post Index, for occupancy of private accommodation, such amount to be adjusted in accordance with the relevant provisions of the Relocation Directive for family separation expenses while in temporary accommodation.

(ii) an employee's shelter cost under FSD 25 - Shelter shall commence on the day of arrival of a dependant, where an employee is occupying permanent accommodation; and

(iii) one return trip to the former place of duty may be authorized when the deputy head is satisfied that the employee's dependant(s) require the assistance of the employee in travelling to the new place of duty.

Instructions

1. Self-contained accommodation includes commercial self-contained accommodation and temporary Crown held accommodation equipped with adequate furniture and appliances.

2. When an employee is absent from the place of duty on leave or in travel status while at the same time claiming FSE, the FSE reimbursement shall only be made for non-cancellable costs. For persons in private accommodation, reductions in the monthly allowance shall be made if the period of absence exceeds one week and shall be proportionate to the days of absence relative to the number of calendar days in the month.

3. Where FSE is claimable for a period of less than one full month, the amount payable is calculated by multiplying the amount normally claimed for a full month by the number of days claimed for FSE divided by the number of calendar days in that month.

4. Living expenses for an employee's dependant(s) in temporary accommodation prior to departure from the former place of duty may be authorized for a period in excess of two days, at the discretion of the deputy head, in accordance with Instruction 4 following Section 15.33(a).

Relocation in Specific Circumstances

Termination of assignment outside Canada

15.35 When, while serving at a post, an employee's assignment is terminated because of

(a) retirement, the deputy head shall approve for payment actual and reasonable relocation expenses as defined in Section 15.02(c)(ii), from the approved place of residence abroad, to:

(i) the employee's headquarters city, or

(ii) any other place, except that expenses payable shall not exceed those that would be paid to the employee's headquarters city,

provided removal is effected within six months of the employee's last day of employment except that, in cases of retirement which are not beyond the reasonable control of the employee, where the employee has not completed the agreed-to tour of duty, the deputy head may require that the employee pay a portion of the expenses in an amount not exceeding, and possibly less than, the amount determined on a pro-rata basis according to the following formula:

period of assignment uncompleted
previously agreed duration
of assignment
X
relocation expenses
=
amount payable by the employee

in which case, the employee shall be so advised in writing before departure from the post;

(b) workforce adjustment, the deputy head shall approve for payment actual and reasonable relocation expenses in accordance with Section 15.35(a); subject to operational requirements, an employee may be relocated to the headquarters city prior to termination of employment or may be relocated directly to the place where the employee chooses to retire;

(c) the employee's death, the deputy head shall approve for payment actual and reasonable expenses payable under this directive on behalf of a dependant abroad in accordance with Section 15.35(a) provided the move is effected within six months of the employee's last day of employment;

(d) resignation or dismissal, the deputy head may

(i) approve for payment actual and reasonable relocation expenses as defined in Section 15.02(c)(i), of the employee and each dependant, on a pro-rata basis, from the approved place of residence abroad to the employee's headquarters city according to the following formula:

period of assignment completed
previously agreed duration of
assignment
X
relocation expenses
=
amount payable at public expense

except that where an employee chooses to relocate to a location other than the headquarters city, the amount payable shall not exceed the amount as determined in the foregoing formula;

and/or

(ii) authorize recovery of relocation expenses as defined in Section 15.02(c)(ii) paid in respect of the journey to the post, where the employee resigns within one year from date of arrival at the post, on a pro-rata basis, according to the following formula:

period of assignment completed
previously agreed duration of
assignment
X
relocation expenses
=
amount payable at public expense

and

(iii) relocation expenses shall only be paid if the relocation is effected within two months of the last day of employment and shall be limited to the expenses that would be payable for relocation between the employee's post and the dependant's approved place of residence abroad, and the employee's headquarters city.

(e) extended periods of leave without pay, the deputy head shall approve for payment actual and reasonable relocation expenses in accordance with Section 15.35(a), provided removal is effected within twelve months of the employee's last day of duty at the post.

except that, subject to the limitations of this section, an employee may elect for a non-accountable relocation travel allowance (NAA) in accordance with Section 15.04. Where such an election is made, the provisions outlined in Section 15.35, other than for travel, shall continue to apply. (revised October 1, 2004)

Instructions

1. Where effects have been placed in long-term storage outside Canada at the direction of the deputy head, costs associated with the shipment of household effects from long-term storage shall be included for payment under Section 15.35, subject to the weight limitations prescribed in Section 15.14 which were in effect at the time the goods were placed in storage.

2. Where effects have been placed in long-term storage at the employee's headquarters city, shipment of such effects to another location shall not be authorized.

3. Where termination of employment outside Canada is the result of retirement or death of an employee, the deputy head may authorize the continued payment of storage costs for effects in long-term storage for such period of time as is considered appropriate to the circumstances but not exceeding nine months from the employee's last day of employment.

4. An employee who resigns or is dismissed while serving outside Canada is responsible for storage costs of effects in long-term storage from the date of termination.

5. Where an employee elects for a non-accountable relocation travel allowance (NAA), in lieu of the provisions of Section 15.35(d), the NAA shall reflect the limitations of Section 15.35(d) for travelling expenses only, of the employee and/or dependant. (revised October 1, 2004)

Early termination of posting

15.36

(a) When an employee serving at a post requests relocation to Canada before termination of the agreed-to assignment,

(i) the deputy head may require that the employee pay a portion of the relocation expenses as defined in Section 15.02(c)(ii), in an amount not exceeding, and possibly less than, the amount determined on a pro-rata basis according to the following formula:

period of assignment uncompleted
previously agreed duration of assignment
X
relocation expenses
=
amount payable by the employee

in which case, the employee shall be so advised in writing before departure from the post, and

(ii) subject to the limitations of this section, an employee may elect for a non-accountable relocation travel allowance (NAA) in accordance with FSD 15.04. Where such an election is made, the provisions outlined in Section 15.36, other than for travel, shall continue to apply. (revised October 1, 2004)

Instructions

1. Section 15.36(a) should be applied only in those cases where a termination of posting takes place exclusively because of the personal wishes of the employee. Care should be exercised to ensure that there is no penalty because of circumstances beyond the employee's control, or because of situations which can be attributed wholly or in part to the employer.

2. Where an employee elects for a non-accountable relocation travel allowance (NAA) under Section 15.36(a)(ii), the NAA shall reflect the limitations of Section 15.36(a)(i). (revised October 1, 2004)

(b) Where an employee who has been assigned to duties at a post outside Canada for a period of one year or more is recalled to Canada prior to completion of the normal period of posting, the deputy head shall reimburse the employee the amount paid in customs duties and taxes in respect of a reasonable quantity of goods purchased for personal use that does not qualify for tax-free admission because the period of possession or absence from Canada was insufficient, where:

(i) reimbursement shall be made only on goods purchased prior to notification of recall to Canada where such goods would normally have been permitted duty and tax-free entry to Canada had the employee completed the assignment; and

(ii) the employee's posting has been terminated due to:

(A) illness or death of an employee or dependant; or

(B) program related reasons, such as:

- re-assignment for service in Canada, or to a post, where the employee's goods are returned to Canada for storage,

- promotion,

- release,

- lay-off,

- training, or

- staff reductions.

Transfer between departments

15.37 When an employee serving at a post is transferred from one department to another, the relocation expenses, as defined in Section 15.02(c)(ii), where applicable, shall be borne by the receiving department. However, costs may be shared by the receiving and sending departments where it is to their mutual advantage and prior arrangements have been made.

Relocation during long school holiday recess

15.38

(a) Where an employee is to be relocated during the long school holiday recess, the deputy head may authorize payment of actual and reasonable relocation expenses as defined in Section 15.02(c)(ii), to the employee's new place of duty, for a dependent student:

(i) who will not be residing with the employee at the post, but for whom an education allowance or shelter assistance is payable under FSD 34 - Education allowances; and/or

(ii) who has not been residing with the employee at the post, but for whom an education allowance or shelter assistance has been paid under FSD 34 - Education allowances for the academic year immediately preceding the relocation.

(b) In lieu of the provisions of Section 15.38(a) the deputy head may authorize payment of actual and reasonable living expenses for a dependent student to the maximum established in FSD 34.04(b) from the time the employee occupies temporary accommodation at the old place of duty in accordance with Section 15.33 until the commencement of the school term.

(c) In approving relocation expenses pursuant to Section 15.38(a), the deputy head shall take into consideration the age of the dependent student, the duration of time to be spent at the post prior to the commencement of the school year and the possibility of suitable alternative temporary accommodation at the place of study.

Guideline

In approving relocation expenses pursuant to Section 15.38(a), the deputy head shall take into consideration the age of the dependent student, the duration of time to be spent at the post prior to the commencement of the school year and the possibility of suitable alternative temporary accommodation at the place of study.

Person ceasing to be a dependant

15.39 Where a person ceases to be a dependant while abroad, the deputy head may approve payment of actual and reasonable relocation expenses:

(a) as defined in Section 15.02(c)(ii) where the person leaves the post with the employee or in advance of the employee; or

(b) as defined in Section 15.02(c)(i) where the person leaves the post within one year of the employee's date of departure from the post; or

(c) as defined in Section 15.02(c)(i) where the person has been in fulltime attendance at an educational institution outside Canada and returns to Canada within three months from the date of completion of the program in which the student was enrolled at that educational institution, in an amount not exceeding the costs of relocation between the dependant's approved place of residence abroad and the employee's headquarters city.

except that an employee may elect for a non-accountable relocation travel allowance (NAA), in accordance with Section 15.04. When such an election is made, the relocation provisions of Section 15.39, other than for travel, shall continue to apply. (revised October 1, 2004)

Instructions

1. In considering weight limitations which may be approved under Section 15.39, the total weight limitations of all shipments authorized under Sections 15.13 and 15.39 shall not exceed the maximum weight limitation which the deputy head was prepared to approve under Section 15.14.

2. Where an employee elects for a non-accountable relocation travel allowance (NAA), in lieu of the provisions of Sections 15.39(b) or (c), the NAA shall be determined on the basis of travelling expenses only, for the dependant. (revised October 1, 2004)

Dependants prohibited from accompanying an employee

15.40

(a) Subject to Section 15.40(c), when an employee serving abroad is relocated to a post where it is not permitted to take a dependant, the deputy head may approve for payment actual and reasonable relocation expenses, as defined in Section 15.02(c)(ii), of the dependant from the approved place of residence abroad to:

(i) the employee's headquarters city; or

(ii) a location in or outside of Canada chosen by the employee and approved by the deputy head,

except that where the location chosen by the employee and approved by the deputy head is outside Canada, relocation expenses, as defined in Section 15.02(c)(ii), shall be limited to the expenses that would be incurred if the dependant had been relocated to the employee's headquarters city.

(b) Subject to Section 15.40(c), if the prohibition of a dependant at the employee's post is lifted not later than six months before the employee is scheduled to depart, the deputy head may approve for payment actual and reasonable relocation expenses, as defined in Section 15.02(c)(ii), of the employee's dependant from the approved place of residence to the employee's post. Where the approved place of residence is a location outside Canada, relocation expenses payable shall be limited to the expenses that would be incurred if the dependant had been relocated from the employee's headquarters city to the post.

(c) Relocation expenses payable under Sections 15.40(a) and (b) shall be those expenses, as defined in Section 15.02(c)(ii), authorized by the deputy head in such amounts as are considered appropriate to the circumstances by the deputy head, in accordance with this directive.

except that, subject to the limitations of this section, an employee may elect for a non-accountable relocation travel allowance (NAA), in accordance with Section 15.04. Where such an election is made, the provisions outlined in Section 15.40, other than for travel, shall continue to apply. (revised October 1, 2004)

Relocation expenses for a spouse qualifying as a dependant in mid-tour

15.41 Where a spouse or common-law partner becomes a dependant in mid-tour, through marriage or eligibility in accordance with the declaration in Appendix A to FSD 2 - Interpretation, the deputy head may authorize payment of:

(a) actual and reasonable transportation expenses, including costs of authorized stopovers, for the spouse and any accompanying dependent child, by the most direct routing from the location where the marriage takes place to the employee's post, up to the cost of travel by the most direct routing from the headquarters city to the employee's post;

(b) storage costs only, for the spouse's or common-law partner's effects, provided that effects are combined with existing long-term storage lot of the employee, until the employee is assigned to duty in Canada and effects are removed from long-term storage.

(c) actual and reasonable expenses for packing, crating, cartage, transportation and unpacking of household effects, to the employee's post, (revised October 1, 2004)

(i) from the location where the marriage takes place or the spouse's previous place of residence at the time of the marriage; or (revised October 1, 2004)

(ii) from the employee's previous place of residence, if the common-law partner becomes a dependant through the declaration in Appendix A to FSD 2 -Interpretation; (revised October 1, 2004)

up to the cost of shipment by the most direct routing from the headquarters city to the employee's post, except that; (revised October 1, 2004)

(iii) The total quantity of effects shipped shall be based on the weight limitation prescribed in Section 15.14 applicable to the employee's new household size and taking into consideration any initial or subsequent shipment previously authorized under Section 15.13; provided: (revised October 1, 2004)

(A) the move is effected immediately after marriage or after the date of dependency, and no less than six months before the expected termination of the employee's posting; and (revised October 1, 2004)

(B) removal of the spouse's or common-law partner's household effects will not be authorized within any area, which, according to local custom, is within commuting distance of the employee's place of duty; (revised October 1, 2004)

(d) subject to the limitations of this section, in lieu of the provisions of Section 15.41(a), an employee may elect for a non-accountable relocation travel allowance (NAA), in accordance with Section 15.04. Where such an election is made, the provisions outlined in Sections 15.41(b) and (c) shall continue to apply. (revised October 1, 2004)

Instructions

1. The deputy head may approve payment of expenses related to the storage of personal and household effects under the provisions of Section 15.41(b) or shipment of personal and household effects under the provisions of Section 15.41(c) following receipt of an inventory prepared in accordance with Section 15.15.

2. If the employee does not have any goods in long-term storage in the headquarter's city, storage costs may be allowed at an approved storage facility in the headquarters city.

3. Packing, crating and shipping expenses associated with placing the spouse's or common-law partner's effects in long-term storage are the responsibility of the employee.

4. Where an employee elects for a non-accountable relocation travel allowance (NAA) in lieu of the provisions of Section 15.41(a), the NAA shall reflect the limitations and conditions of Section 15.41(a) for travelling/transportation expenses only, for the persons authorized to travel. (revised October 1, 2004)

Managerial discretion

15.42

(a) Subject to specific financial limitations prescribed in this directive, when the deputy head is of the opinion that the assistance provided under any section is clearly inadequate for an employee (because of special circumstances not taken into account by this directive), such additional assistance may be authorized as is considered necessary to facilitate a departmental program or to rectify what would otherwise be an obvious injustice to the employee. Such additional assistance shall not be granted where it is explicitly prohibited under any section of this directive.

(b) Managerial discretion may also be exercised under this section where there has been a bona fide de facto separation, a legal separation, or divorce and in the opinion of the deputy head the assistance provided is clearly inadequate for an employee or estranged spouse or common-law partner.

Instruction

Where management discretion is exercised, the details shall be reported to the appropriate foreign service interdepartmental co-ordinating committee. Where circumstances are unusual, the deputy head may wish to request advice from the committee before authorizing additional assistance under this section.

Transitional provisions

15.43 In general, revised provisions apply to relocation expenses incurred on or after June 1, 2001. Specific application is as follows:

(a) 15.02 Transportation Entitlement

The definition applies effective June 1, 2001.

(b) 15.03(d) Travel Reservations and Entitlement

Revised provisions for relocation travel through the headquarters city on cross-posting apply to travel authorized on or after June 1, 2001.

(c) 15.04(a)(vi) Travel by Air - Non-Accountable Relocation Travel Allowance (NAA)

Revised provisions apply to travel commencing on or after June 1, 2001.

(d) 15.04(b) Transportation where Air Services Not Used

(iv) Revised provisions apply to travel by PMV commencing on or after June 1, 2001.

(v) Provisions for a Non-Accountable Relocation Travel Allowance (NAA) for travel by PMV apply to travel commencing on or after June 1, 2001.

(vi) Revised provisions for travel by sea apply to travel commencing on or after June 1, 2001.

(vii) Provisions for a Non-Accountable Relocation Travel Allowance (NAA) for travel by sea apply to travel commencing on or after June 1, 2001.

(e) 15.06(a) Stopovers

Revised provisions for stopovers where an employee makes personal relocation travel arrangements apply to travel commencing on or after June 1, 2001.

(f) 15.09 Meals and Other Expenses While Travelling

Revised provisions for meals and incidentals apply to travel commencing on or after June 01, 2003.

(g) 15.13(a) Shipment and Storage of Household Effects on Relocation to a Post or Between Posts

(iii) Revised provisions for storage of a PMV apply to storage authorized on or after June 1, 2001.

(iv) Revised provisions for supplementary shipments on cross-postings apply to shipments authorized on or after June 1, 2001.

(v) Provision for payment of storage costs for HHE transferred from the family residence apply to costs incurred on or after June 1, 2001.

(h) 15.13(d) Shipment and Storage of Household Effects

Modes of Shipment

Revised provisions for supplementary shipments/limited excess baggage, apply to shipments authorized on or after June 1, 2001.

(i) 15.14 Weight Limitations

Revised provisions for the application of weight limitations apply to shipments authorized on or after June 1, 2001.

(j) 15.30 House Hunting Trips

Revised provisions for dependant care while on a HHT apply to costs incurred on or after June 1, 2003

(k) 15.32 Car Rental Expenses

Revised provisions apply to costs incurred on or after June 1, 2001. Provision for rental of a compact vehicle apply to costs incurred on or after June 1, 2003.

(l) 15.33(a) Living Expenses in Temporary Accommodation - General

Revised provisions for dependant care while in temporary accommodation apply to costs incurred on or after June 1, 2003.

Revised provisions for the 2-day entitlement to living expenses in permanent accommodation apply effective June 1, 2001.

Revised provisions for meals and incidentals apply to travel commencing on or after June 01, 2003.

(m) 15.34(a) Family Separation Expenses (FSE) - General

(ii) Revised provisions for FSE following evacuation of dependants from an employee's post apply effective June 1, 2001.

(iii) Revised provisions for extensions of FSE apply effective June 1, 2001.

(n) 15.41 Relocation Expenses for a Spouse or Common-law Partner Qualifying as a Dependant in Mid-tour

Revised provisions apply to expenses incurred on or after June 1, 2001.

Submission of expense claims

15.44 Accountable expenses incurred by an employee under this directive shall be claimed in accordance with procedures prescribed by the employer. Unless otherwise specifically indicated in this directive, claims for expenses incurred for the following shall be supported by vouchers, receipts or other appropriate documents:

1. Commercial transportation, (includes used airline tickets).

2. Overnight accommodation in commercial establishments.

3. Taxi charges in excess of $10.00

4. Purchasing traveller's cheques and converting foreign currencies.

5. Laundry, dry cleaning and valet services.

6. Official long distance telephone calls.

7. Excess luggage.

8. Passport photographs and related expenses.

9. Medical, hospital and other expenses arising from illness, injury or death.

10. Charges in connection with the termination of a lease.

11. Damage or loss of effects, depending on the nature of the claim.

12. Shipping a PMV in accordance with Section 15.17 when charges are not paid directly by the deputy head on the employee's behalf.

13. Charges in connection with the removal of an employee's household effects when such charges are not paid directly by the deputy head on the employee's behalf.

14. Car rental expenses claimed in accordance with Section 15.32.

---

Appendix A - Living Expenses in Temporary Accommodation - Relocation to Post

Days	Hotel accommodation	Self-contained accommodation	Private Non-Commercial Accommodation
First 2 days	Applicable daily meal allowance * Incidentals No shelter cost	Applicable daily meal allowance * Incidentals No shelter cost	Applicable daily meal allowance * Incidentals No shelter cost **Accommodation Allowance
Day 3 to Day 21	Applicable daily meal allowance * Incidentals No shelter cost	Up to 80% of applicable daily meal allowance * Incidentals No shelter cost	Up to 80% of applicable daily meal allowance * Incidentals No shelter cost **Accommodation Allowance
Day 22 to Day 35	Up to 80% of applicable daily meal allowance * Incidentals No shelter cost	No meal allowance No incidentals No shelter cost	No meal allowance No incidentals No shelter cost **Accommodation Allowance
After Day 35	Up to 80% of applicable daily meal allowance * Incidentals Shelter cost applies	No meal allowance No incidentals Shelter cost applies	No meal allowance No incidentals No Shelter Cost **Accommodation Allowance

All allowances and incidentals in USA are payable at the rates shown in Appendix C of the Travel Directive.

All allowances and incidentals outside USA are payable at the rates shown in Appendix D of the Travel Directive.

* Incidentals payable outside the USA:

3-Meal Allowance = 32% incidentals

2-Meal Allowance = 40% incidentals

No Established Meal Allowance = 40% of actual and reasonable meal expenses

Incidentals are payable for employee only, and include laundry and dry-cleaning.

Self-contained accommodation means commercial self-contained accommodation and temporary Crown-held staff accommodation equipped with adequate furniture, furnishing and appliances.

** Private non-commercial accommodation allowance:

- USA: as per rate in Appendix C of Travel Directive

- Outside USA: as per rate in Appendix D of Travel Directive

- Payable PER DAY, PER FAMILY UNIT.

Meals rates for children: USA:

Up to 12 years of age: one-half of meal rate.

Over 12 years of age: full meal rate.

Outside USA:

Up to 4 years of age: one-half of meal rate.

Over 4 years of age: full meal rate.

---

Appendix B - Depreciation reference table

Reasonable  useful life in years	Percentage depreciation per  year to nearest whole per cent
1	Pay nominal amount only
2	50
3	33
4	25
5	20
6	17
7	14
8	12
9	11
10	10
12	8
15	7
20	5
25	4
30	3
50	2

First determine reasonable useful life of item in years to get yearly depreciation percentage. Then multiply by actual age of item in years to get total amount of depreciation to be applied.

Do not depreciate more than 90 per cent.

---

Appendix B - Depreciation reference table - Scheduled guide

	Average  useful life  in years	Depreciation per  year to nearest  whole per cent	Comments and maximums for reimbursement
APPLIANCES, COMPUTERS & SOUND EQUIPMENT
Unless specified below	10	10
TV (B/W) Picture tube	4	25
TV (Colour) Picture tube	6	16
Computers	-	-	To be determined
BEDROOM/BATHROOM
Unless specified below	10	10
Bath mat	3	33
Blanket, wool	20	5
Clothes hamper	5	20
Comforter/Duvet	20	5
Mattress cover or pad	5	20
Pillow case	5	20
Quilt	20	5
Sheet	5	20
Shower curtain	3	33
Towel/Washcloth	5	20
BOOKS
Fiction/Non fiction			60% replacement cost
Professional or reference	25	4
Paper back			50% replacement cost
BOXES
Cigarettes/Jewel/Sewing/Music	20	5
BRIC-A-BRAC			75% replacement cost
CARPETS AND RUGS
Under $100 or under $10 m²	5	20
$100-$200 or $10-$20 m²	10	10
Over $200 or over $20 m²	15	7
Genuine Orientals	25	4
Depreciation should be adjusted depending upon light to medium wear or medium to heavy.
CHINA, DISHES, GLASSWARE, VASES
Crystal, fine China	-	-	ACV or 90% replacement cost, whichever is less
Glassware (Other)	5	20
Misc. dishes, crockery, pottery, stoneware	10	10
CLOCKS
Grandfather	33	3
Other
- Under $25	10	10
- Over $25	20	5
CLOTHING, CHILDREN'S (Up to 12 yrs.)			For clothing see Clothing Betterment Tables
Jacket or coat	3	33
Shoes	1	-	Nominal Amount
Other	2	50
CLOTHING, MEN'S
Overcoat, Topcoat, Raincoat	5	20
Leather Jacket	10	10
Suit, Sportscoat, Slacks	5	20
Sweater, Hat, Gloves	5	20
Socks, Underwear, Shirt	3	33
Handkerchief, Pyjama	3	33
Shoes, Misc.	3	33
CLOTHING, WOMEN'S
Fur Coat, Stole, Jacket	-	-	Excluded
Cloth Coat, Stole, Jacket	5	20
Dress, Evening Gown, Suit	5	20
Skirt, Blouse, Slacks, Shoes	3	33
Handkerchief, Night Clothes	3	33
Hat, Fabric Handbag	2	50
Lingerie	1	-	Nominal Amount
Leather Coat, Jacket	10	10
Leather Handbag	5	20
Wedding Gown	-	-
(Bought for specific occasion and unless altered to another use cannot be worn again except for another wedding. Its value is reduced to not more than 50 per cent of replacement cost.)
DRAPERIES, CURTAINS, HARDWARE
Draperies	10	10
Curtains	5	20
Shades	10	10
Traverse Rods	20	5
Venetian Blinds	15	7
FIGURINES, ART OBJECTS, CARVINGS
- Under $300	-	-	ACV or 90% replacement cost, whichever is less
- Over $300	-	-	90% appraised value
FOODSTUFFS
Staples	-	-	Replacement cost
Canned (Home or commercial)	-	-	Replacement cost
Foodstuffs which require climatic control	-	-	Excluded
Liquids	-	-	Excluded
(To be limited to loss of foodstuffs only; no reimbursement for damage to food or caused by food.)
FURNITURE
Card Table & chairs	10	10
Children's furniture	5	20
Mattress & Box Springs	20	5
Slip Covers	5	20
Upholstered	10	10
Chrome	10	10
Plastic	10	10
Rattan	10	10
Wicker	10	10
Wood	20	5
FURS			Excluded
GARDEN SUPPLIES
Barbecue - Gas, Charcoal, Electric	10	10
Garden Tools	10	10
Lawn Furniture
- Aluminium/Steel	5	20
- Wrought Iron	20	5
- Redwood	10	10
- Fabric	3	33
- Plastic	3	33
Lawn Mower (Power)	10	10
Umbrella	5	20
Ladders	20	5
HOBBIES & SPORTING GOODS
Unless specified below	10	10
Binoculars	25	4
Fire Arms	25	4
Coin Collections	-	-	Excluded
Fishing Tackle	20	5
Phonograph Records 78RPM	-	-	35% replacement cost
45-33, Stereo	-	-	75% replacement cost
Photo Equipment
- Under $50	10	10
- Over $50	20	5
Photo Supplies	-	-	75% replacement cost
Stamp Collections
- Under $300	-	-	ACV or 90% replacement cost, whichever is less
- Over $300	-	-	90% appraised value
Tapes & Cassettes	-	-	75% replacement cost
JEWELLERY
Costume
- Under $100	5	20
Other
- Over $100	-	-	Excluded
KITCHEN EQUIPMENT
Stainless Steel	20	5
Copper	20	5
Heavy Aluminium	20	5
Cast Iron	20	5
Good Cutlery	20	5
Misc. Utensils, incl. Plastic	5	20
LAMPS
Table/Floor	15	7
Shades	5	20
Chandelier/Stained Glass	-	-	90% replacement cost
Sun Lamp Bulb	3	33
LINENS
Table, Fine Quality	20	5
Kitchen	5	20
LUGGAGE
(Suitcases, Briefcases)
Leather	20	5
Other Fabrics	10	10
Trunks	25	4
MIRRORS	20	5
MUSICAL INSTRUMENTS
Under $50	5	20
$50-$250	10	10
$250 and above	25	4
PERSONAL ITEMS
Unless specified below	10	10
Cosmetics/Toiletries	-	-	90% replacement cost
Medicine
- Prescription	-	-	20% replacement cost
- Shelf	1	-	90% replacement cost
Billfold	5	20
Umbrella	5	20
PERSONALLY CREATED ITEMS
Under $100	-	-	Material only
Over $100	-	-	Materials only; if appraised 90% appraised value
PICTURE FRAMES	20	5
SEWING SUPPLIES
Fabrics and notions	-	-	90% replacement cost
SILVERWARE & OTHER METALS
Silver Plated (Flatware, Hollowware)	25	4
Sterling (Flatware, Hollowware)	-	-	90% replacement cost
Pewter, Copper, Brass	25	4
SPECIAL ITEMS
Antiques
- Under $300	-	-	ACV or 90% replacement cost, whichever is less
- Over $300	-	-	90% appraised value
Model, Miniature (amateur assembled)	-	-	Materials plus nominal amount if Kit is constructed twice Kit price
Oil Paintings	-	-	ACV based on expert appraisal
Ornaments & Decorations	-	-	75% replacement cost
Photograph/Album/Picture	-	-	Materials only
Scrapbooks	-	-	Materials only
Professional Equipment	-	-	ACV
Stationery/Desk Supplies	-	-	90% replacement cost
Tools
- hand	20	5
- power	10	10
TOYS
Unless specified below	10	10
Games
- Children's	5	20
- Electronic	3	33
Pre-School Play Materials	2	50
TYPEWRITERS	20	5
CALCULATORS	10	10

---

Appendix C - Clothing betterment tables - Step by step use

1) Determine the cost of replacing the article. This is called the Replacement Cost.

2) Determine the actual age of the article in months (in years for ten-year items).

3) Determine the condition of the article (excellent, average or poor).

4) Select from specific Clothing Table the average life of the article.

5) Refer to the column in Life Expectancy Table at the top of which is shown the average life selected in Step 4. Read down this column to the box showing the Actual Age and across to the Adjustment Value.

6) Select the box under Adjustment Values which is appropriate according to the condition of the article.

7) Multiply the percentage figure given under Adjustment Values by the Replacement Cost figure determined in Step 1. This will be the Adjustment Value.

Example: High-fashion cocktail dress. Replacement Cost - $200 Life Expectancy - 3 years. (Women's Clothing Table).

Actual Age - 30 months. Condition - Excellent. Adjustment Value - 30 per cent or $60.

---

Clothing Betterment Tables - Step by Step Use

Life Expectancy Table

Expected Life						Adjustment Values
1 Year	2 Years	3 Years	4 Years	5 Years	10 Years
Actual Age of Article in Months					Actual Age of Article in years	Percentage of Replacement Cost
						Excellent	Average	Poor
0-4	0-4	0-4	0-4	0-4	Less than 1	100	100	100
4-7	4-7	4-10	4-13	4-16	2-4	75	75	60
7-9	7-13	10-19	13-25	16-31	4-6	70	60	45
9-11	13-19	19-28	25-37	31-46	6-8	50	40	30
11-13	19-25	28-37	37-49	46-61	8-11	30	20	15
13 & older	25 & older	37 & older	49 & older	61 & older	11 & older	20	15	10

FSD 16 - Assistance for a principal residence

Introduction

The employer's policy is to make employees more mobile by helping them with expenses related to the acquisition, management and disposal of a principal residence in the headquarters city.

The employer is prepared to assist with the following costs related to a principal residence:

(a) expenses/costs associated with permanent accommodation resulting from relocation (formerly FSD 15.27);

(b) a waiver of shelter cost where an employee is subject to dual accommodation/shelter costs while on posting abroad (formerly FSD 25.09);

(c) property management fees (formerly FSD 25.09);

(d) costs associated with the sale and/or purchase of a principal residence;

as outlined in this directive.

16.01 Definitions

In this directive:

headquarters city (ville du bureau principal) means the employee's normal place of duty in Canada as determined by the deputy head when the employee is assigned to duty outside Canada. It includes any area which, according to local custom, is within commuting distance of the place of duty.

For career foreign service employees, the headquarters city is Ottawa-Gatineau.

For foreign assignment employees, the headquarters city is normally the employee's previous place of duty in Canada prior to assignment to a post. However, when it is known at the time of the foreign assignment that the employee will not be returning to the former place of duty, the deputy head may establish another city as the headquarters city for purposes of this directive, e.g. the Canadian city to which the employee will be returning on completion of the assignment, or Ottawa-Gatineau where this was not the employee's normal place of duty in Canada prior to the assignment.

principal residence (résidence principale) means a single-family dwelling owned by the employee or a dependant (as defined in FSD 2.01(j)) residing with the employee and which is recorded in the departmental or agency personnel file as the employee's permanent address in the headquarters city.

This definition does not include summer residences and other temporary or seasonal accommodation.

Where the property is co-owned by a person(s) who is/are not the employee's spouse, common-law partner, or dependant(s), only that portion of the expenses which is directly proportional to the employee's portion of the property shall be reimbursed.

Assistance is only available when the employee has established occupancy of the principal residence.

single-family dwelling (logement unifamilial) means living quarters containing the normal amenities necessary for continuous year-round occupancy. The dwelling must be structurally separated and have an entrance or entrances from outside the building or from a common hall, lobby, vestibule or stairway inside the building.

shelter cost (frais de logement) means the amount in Canadian dollars which the employee must pay to the employer for shelter for occupancy of Crown-held accommodation or where an employee is in receipt of shelter assistance in accordance with the provisions of FSD 25 - Shelter.

16.02 Application

(a) Unless otherwise indicated, the provisions of this directive apply to both career foreign service employees (rotational) and to foreign assignment employees (non-rotational).

(b) Employees may claim reimbursement under this directive for costs and expenses incurred only while they are employed as career foreign service employees or as foreign assignment employees .

(c) Unless otherwise indicated, the provisions of this directive apply only in conjunction with a purchase and/or sale of a principal residence for which real estate and/or legal fees are reimbursed under this directive.

(d) Employees should also be aware that when the employer does not reimburse costs/expenses of sale/purchase related to relocation, these costs may be tax deductible when filing an income tax return for the calendar year in which the expenditure was incurred.

Part A - Employee as Tenant

16.03 Reimbursable Expenses

(a) Rental Search

An employee who engages the services of a rental agency to find rental accommodation on relocation may be reimbursed the actual and reasonable fee charged by that agency.

(b) Payment of Rent in Advance

An employee who is authorized to relocate and who must pay rent before reporting for duty in order to hold rental accommodation may be reimbursed:

1. up to one month's rent at the new place of duty in Canada; and/or
2. up to three months' rent at the new place of duty outside Canada.

where the deputy head is satisfied that the arrangement was reasonable and justifiable under the circumstances.

(c) Termination of Employee's Lease

An employee who is authorized to relocate and must as a result terminate the lease agreement for the principal residence, may be reimbursed the actual expenses incurred to fulfill the terms of the lease. The employee will be required to provide satisfactory proof of the need to terminate the lease and of the inability to effect a less costly arrangement.

Part B - Employee as Homeowner

16.04 Employee Renting out Principal Residence

(a) Finder's Fee

1. Where, following confirmation of posting, an employee engages the services of a real estate/property management firm to find a first or a subsequent tenant for the principal residence and consequently pays a fee based on one month's rent or fraction thereof, the deputy head may waive payment of one month's shelter cost or fraction thereof, upon presentation of documentation.
2. (ii) This waiver shall be limited to a one-month maximum, to locate a first or a subsequent tenant but not both, within the ceiling established in Section 16.05(b) - Maximum Period of Assistance, regardless of the duration of the lease.

(b) Property Management Fees

1. An employee may claim reimbursement of actual and reasonable fees charged by a property management firm for managing the principal residence during a posting outside Canada, including the administrative costs associated with finding a second or subsequent tenant during this posting.
2. Reimbursement shall be limited to those fees required for managing the property, including any direct costs incurred by the property management firm to find a second or subsequent tenant, but excluding finder's fees and/or charges associated with security, insurance, renovations, repairs, property improvement, etc.

Instruction for Sections 16.04(a) and (b)

Waiver of shelter cost where a finder's fee has been paid (Section 16.04(a)) and reimbursement of property management fees (Section 16.04(b)) relate to costs associated with the use of commercial agencies engaged in real estate rentals and sales and/or property management (in the case of property management fees).

(c) Breaking a Tenant's Lease

An employee who has a lease agreement with the tenant of the principal residence in the headquarters city may be reimbursed for actual and reasonable expenses incurred:

1. Early Reassignment to Headquarters City: in breaking the lease agreement, where the employer decides to reassign the employee to the headquarters city prior to the date of completion of posting shown on the Posting Confirmation Form, and the employee wants to reoccupy the principal residence during the stated term of the lease but is unable to do so; or
2. Short Notice of Confirmation of Reassignment to Headquarters City: in terminating the lease agreement, where the employer provides short notice of confirmation of reassignment to the headquarters city on completion of posting and as a result the employee cannot give the required period of notice to the tenant, in accordance with the law of the province of residence.

Instructions for Section 16.04(c)

1. In authorizing reimbursement of expenses for breaking a tenant's lease (Section 16.04(c)), the deputy head shall ensure that such expenses are cost-effective relative to alternative accommodation arrangements.
2. This section is not intended as compensation for expenses incurred as a result of the employee's personal choice to return to the headquarters city, but rather for expenses incurred as a result a decision originating with the employer to reassign the employee to the headquarters city for program-related reasons, including health.

16.05 Assistance - Principal Residence Vacant During Posting

(a) Waiver of Shelter Cost/Dual-Accommodation Costs

The deputy head may waive the payment of shelter cost in dual-accommodation costs situations, where the employee is subject to shelter cost at post and:

1. has home ownership costs but no rental income from a tenant because:
   1. as a result of short notice of posting by the employer, there has not been time to rent or sell the principal residence prior to leaving the headquarters city, and the residence is vacant; and/or
   2. at the employer's request, the employee agrees, on short notice, to a cross-posting or a posting extension and as a consequence the principal residence is vacant; and/or
   3. through no fault or choice of the employee, during the posting the tenant vacates the principal residence which remains vacant while a new tenant is located.
2. is receiving a rental income from a principal residence but has paid a real estate or property management firm to locate a tenant as per Section 16.04(a) - Finder's Fee and is also subject to shelter cost at post.

(b) Maximum Period of Assistance

1. Period and Number of Months of Assistance: Waiver of shelter cost under Sections 16.04(a) - Finder's Fee and 16.05(a) - Waiver of Shelter Cost/Dual Accommodation Costs is limited to the period during which the employee is subject to two sets of accommodation costs (dual-accommodation). It shall not normally exceed a total of nine months for each posting, including any posting extension.
2. Short Notice of Confirmation of Posting: Where, because of short notice given by the employer, an employee is in a "dual-accommodation cost" situation during the initial period of a posting or cross-posting, waiver of shelter cost shall not normally extend beyond the last day of the ninth month following the month in which the confirmation of posting or cross-posting is received.
3. Finder's Fee Paid: Where Section 16.04(a) - Finder's Fee applies, the employee may claim up to one month's waiver of shelter cost, within the maximum of nine months, notwithstanding that this waiver may be applied subsequent to the last day of the ninth month following the month in which confirmation of posting or cross-posting is received.

(c) Extensions - Maximum Period of Assistance

Exceptions to the nine-month limit will not normally be considered. However, a further maximum period of three months of assistance may be considered by the appropriate foreign service interdepartmental co-ordinating committee:

1. in exceptional circumstances as a result of factors outside the employee's control, where the principal residence must be maintained beyond nine months during the initial period of posting or cross-posting; or
2. in truly exceptional circumstances, such as an employer-requested posting extension which places the employee in a situation where it is not possible to rent the principal residence and it remains vacant.

Instructions for Section 16.05(c)

1. The provisions of this section are available following confirmation of assignment to a mission outside Canada and are again on cross-posting.
2. Section 16.05(a) - Waiver of Shelter Costs/Dual-Accommodation Costs is designed to facilitate departmental program requirements, as determined by the deputy head of the employing department, or to rectify what would otherwise be an obvious injustice to the employee.
3. Section 16.05(a)(i)(C) is designed primarily for those situations where an employee must locate a new tenant in mid-tour because the previous tenant has vacated the principal residence. It is not designed for periods of less than one month that occur immediately prior to the employee's final departure from a post.
4. Sections 16.05(b) - Maximum Period of Assistance and 16.05(c) - Extensions - Maximum Period of Assistance are not intended to provide financial assistance to an employee who chooses not to lease the principal residence in the headquarters city, nor to subsidize a loss of rental revenue/income resulting from circumstances such as placing a property on the market for sale or rent above the market value.

Guidelines

1. Situations in which a dependant has not joined an employee at a post are governed by the provisions of FSD 15.34 - Family Separation Expenses and FSD 17 - Assistance for Spouses and Common-Law Partners.
2. An employee may claim waiver of shelter cost in accordance with Sections 16.04(a) - Finder's Fee, and 16.05(a) - Waiver of Shelter Costs and 16.05 (b) - Maximum Period of Assistance, to a total maximum of nine months, as described in Section 16.05(b).

Part C - Purchase and Sale of Principal Residence

16.06 Career Foreign Service Employees (Rotational)

(a) These special provisions apply to career foreign service employees in recognition of the unique circumstances associated with a career in the foreign service.

(b) After notification has been received of initial relocation from the headquarters city to a place of duty outside Canada, career foreign service employees shall have the option, subject to Section 16.08 - Tax Implications and 16.17 - Relocation Between Canadian Cities and Relocation Between Mission/Canadian City Other than Employee's Headquarters City and to the limitations of this directive:

1. once during their career in the foreign service, of reimbursement of:
   1. (A) the real estate fees (Section 16.09(a)) or the expenses for a private sale (Section 16.14) and legal/notary fees involved in the sale of a principal residence in the headquarters city (Section 16.09(b)); and
   2. (B) the legal/notary fees involved in the purchase of a principal residence in the headquarters city (Section 16.09(b));

   OR

2. twice during their career in the foreign service, of reimbursement of the legal/notary fees involved in the purchase of a principal residence in the headquarters city (Section 16.09(b)).

Guidelines for Section 16.06

1. Section 16.06 only applies for relocation between the headquarters city and the mission. See Section 16.17 for Relocation between two Canadian cities, and for Relocation between the mission and a Canadian city other than an employee's headquarters city.
2. While career foreign service employees can access this provision at any time during their foreign service career, and are not limited to the actual time of relocation, this benefit may be taxable in accordance with Section 16.08 - Tax Implications.

16.07 Foreign Assignment Employees (Non-Rotational)

(a) A foreign assignment employee may claim, once during a career with the Public Service for all relocations between the headquarters city and missions abroad commencing from notification of initial assignment abroad, in accordance with the provisions of the National Joint Council (NJC) Integrated Relocation Directive for payment of real estate and legal/notary fees:

1. real estate and legal/notary fees on the sale of a principal residence in the headquarters city, at the time of a relocation from that city; and/or
2. legal/notary fees for the purchase of a principal residence in the headquarters city at the time of relocation to the headquarters city from a mission abroad, if the employee had sold a principal residence at the time of relocation from the headquarters city to the mission. (revised December 1, 2005)

(b) This section shall apply again where seven years or more have elapsed between the foreign assignment employee's return to Canada and any future assignment abroad.

(c) A foreign assignment employee who has not taken advantage of this directive and accepts an extension of a tour of duty or a cross-posting, may at the time of that extension/cross-posting claim the provisions of Section 16.07(a)(i).

(d) Section 16.07 is subject to Section 16.08 - Tax Implications and Section 16.17 - Relocation Between Canadian Cities and Relocation Between Mission/Canadian City Other than Employee's Headquarters City. (revised December 1, 2005)

16.08 Tax Implications

(a) Canada Revenue Agency has ruled that the reimbursement by the employer of the costs of purchase and sale of an employee's principal residence is a taxable benefit. Exception is made when the sale or purchase of the residence is related to a relocation necessitated by employment, such as a posting, as follows:

1. Home Sale Expenses: Reimbursement of eligible home sale expenses following notification of posting to a location outside Canada is exempt from taxation.
2. Home Purchase Expenses: Reimbursement of home purchase expenses is exempt from taxation when an employee returns to Canada from a posting and purchases a new principal residence to replace the one sold at the time of the last posting outside Canada.

(b) Career foreign service (rotational) employees who buy/sell at times other than specified above will be reimbursed costs in accordance with the provisions of this directive. However, these will be treated as taxable benefits. (revised December 1, 2005)

16.09 Reimbursable Expenses

(a) Real Estate Fee

The real estate fee charged by a licensed real estate broker, including GST levied on the payment of such fee, shall be reimbursed, provided:

1. the residence which is sold is or has been occupied as the principal residence by the employee or a dependant as defined in FSD 2.01(j);
2. the residence is on a lot size not in excess of 1.235 acres (1/2 hectare), or where required by zoning laws, a lot size of not more than 4 acres (2.47 hectares); and
3. the fee charged by a real estate broker, including multiple listing services(MLS) is within the scale normally charged in the area. Premiums paid to real estate agents shall not be reimbursed.

(b) Legal or Notary Fees

1. Legal and/or notary fees (including GST levied on the payment of such fees) necessarily incurred to provide or obtain clear marketable title to the property, up to the tariff set by provincial bar associations, shall be reimbursed to an employee who makes a legal commitment to buy or sell a principal residence, provided:
   1. (A) the residence sold qualifies the employee for reimbursement of a real estate fee under Section 16.09(a), and/or
   2. (B) the new residence purchased is to be occupied and owned by the employee or occupied by the employee and owned by a dependant residing in the employee's household.
2. reimbursement of legal or notary fees for the purchase of a principal residence shall be made only after the employee has occupied the residence.

(c) Expenses to Acquire or Provide Clear Title: Expenses necessary to acquire or provide clear title to a property shall be reimbursed on presentation of proof of payment. Such expenses include sheriff's fee, land transfer tax, transfer of deed and/or cost of a survey if required to confirm the description of the property purchased.

(d) Appraisal and Inspection Fees: On presentation of proof of payment, employees shall be reimbursed the following:

1. Fees charged by a qualified structural inspector for one structural inspection prior to purchase of a previously owned dwelling or of a new dwelling that is not covered under warranty at the time of possession. Reimbursement is limited to $300.00.
2. Actual and reasonable fees charged by two certified professional appraisers for two appraisals of the residence to be sold.

16.10 Mortgage and Associated Costs

The following expenses are reimbursable, on presentation of evidence of payment:

(a) First Mortgage - Termination/Acquisition: Costs related to the termination and/or acquisition of a first mortgage for the employee's principal residence.

(b) Second Mortgages - Termination/Acquisition: Costs related to the termination or acquisition of a second mortgage for the principal residence, if there are no costs associated with the termination of a first mortgage on the sale of a principal residence, or with the acquisition of a first mortgage on the purchase of a principal residence.

(c) Mortgage Default Insurance Premiums/Insurance Processing Fee: Mortgage default insurance premium and/or an insurance processing fee, if:

1. the employee was previously a homeowner;
2. the need for the insurance is verified (employee's equity is less than 25 per cent of the cost of the house); and
3. the premium is levied in one payment;

except that, if the equity in the former residence is not transferred fully to the new residence, any resulting increase in the premium (or the levying of the premium) shall not be reimbursed.

(d) Higher-Interest New Mortgage: Where the first mortgage in the new principal residence is a higher-interest mortgage than the previous first mortgage, the employee shall be reimbursed the difference in the interest charges between the two mortgages, based on the amount of the mortgage and the unexpired term of the previous mortgage, up to a maximum period of 5 years, and up to a maximum of $5,000. If the new mortgage principal is for a lesser amount than the previous mortgage principal, that lower mortgage principal will be used to calculate the differential.

Instructions for Section 16.10

1. Section 16.10(d) - Higher-Interest New Mortgage is intended to assist employees who purchase homes when mortgage interest rates are high. When interest rates are relatively low, where an employee voluntarily enters into a mortgage at an interest rate higher than rates currently offered by mortgage lending institutions (e.g.: taking over a vendor's high interest mortgage), reimbursement shall be limited to costs which would have been incurred with a mortgage at current interest rates.
2. Mortgage interest differential payments are not considered taxable income when incurred as a result of an employment-related relocation mortgage.
3. Examples of mortgage interest differentials and related calculations are contained in the appendices to this directive. They are included for information purposes only.

16.11 Other Financial Arrangements

(a) Voluntary Arrangements: Expenses related to financial arrangements resulting from the acquisition or disposal of a principal residence (e.g.: mortgage finder's fees and adjustments on closing, such as municipal taxes) are not reimbursable, as they are not essential to establishing clear title to the property.

(b) Goods and Services Tax: GST on newly-built homes is not reimbursed.

(c) First Mortgage Repayment Penalty: On presentation of proof of payment, an employee who qualifies for the reimbursement of real estate and legal/notary fees but who must pay a first mortgage repayment penalty upon termination of the first mortgage on the sale of a residence, shall be reimbursed the amount of the penalty payment in an amount not exceeding six months's mortgage interest.

(d) Amount of Reimbursement: The amount of reimbursement authorized under Section 16.11(c) - First Mortgage Repayment Penalty shall be adjusted to correspond to the relevant provisions of the National Joint Council (NJC) Integrated Relocation Directive as amended from time to time.

16.12 Bridging Loan

(a) Short-Term Personal Loan: An employee who obtains a short-term personal loan to purchase a principal residence while the former principal residence remains unsold, shall be reimbursed:

1. the interest for the bridging loan at the current bank interest rate; and
2. the necessary legal/notary and administrative fees associated with the loan, excluding third-party fees charged which may be incurred in obtaining such a loan.

(b) Mortgage in-lieu-of Short-Term Personal Loan: Where an employee is unable to obtain a short-term personal loan, the interest as well as the legal/notary and administrative costs will be reimbursed for a mortgage secured for the same purposes, provided that these costs do not exceed those associated with a short-term personal loan as described above.

(c) Amount of Loan/Mortgage: The amount of the loan or mortgage on which interest is reimbursable shall not exceed the employee's equity in the unsold principal residence. Equity is based upon the difference between the appraised value and the existing mortgages on the principal residence.

(d) Reimbursement Deadline: Reimbursement shall cease within ten working days following the date the sale transaction is completed ("sold and closed" in real estate terms) or at the end of six months, whichever is the earlier. In unusual circumstance, the deputy head or a delegated senior officer may extend the reimbursement period for an additional six months.

(e) Conditions of Assistance: Reimbursement shall be made only following submission of proof that the interest has been paid and shall be based on evidence of the amount of the loan or mortgage that was used to purchase a principal residence (e.g.: copy of the purchase and sale agreement). Assistance under this section is available once per career, in conjunction with either a purchase or a sale of a principal residence for which real estate and/or legal/notary fees are reimbursed under this directive.

(f) Advances: Advances for reimbursable expenses should be issued only when needed. In acquiring a bridging loan, the employee should establish a line of credit and borrow, on an as-needed basis, up to the full amount required for the bridging loan. The Crown would then pay for interest only for the periods for which the amounts are actually required.

16.13 Unusual Properties

(a) Land or Acreage Above Prescribed Limit: The reimbursement of expenses in this Directive is limited to a lot size not exceeding 1.235 acres/1/2 hectare, or where required by zoning laws, a lot size of not more than 4 acres/2.47 hectares. When an employee buys or sells land or acreage as a parcel with the principal residence, the employee shall only be reimbursed for that portion of the cost which results from the sale of the residence together with the lot size limitations as indicated above.

(b) Multiple-Unit Residence Building: If the employee owns a multiple-unit residence building within which each unit is self-contained (e.g.: a duplex or an apartment block), occupies one unit as a principal residence and sells the building, only those parts of the costs related to the unit used as a principal residence may be reimbursed. The relationship this unit bears to the entire building may be calculated on the floor area, or by any other method accepted under the Income Tax Act.

(c) Income-Producing Property: If the employee buys or sells an income-producing property (such as a small store or confectionery) in which the principal residence is or has been maintained, reimbursement shall be limited to that portion of the costs that the principal residence bears to the total.

16.14 Private Sale

Where the employee decides to sell the principal residence privately, the expenses incurred for an appraisal, for placing advertisement in local newspapers and for the purchase or production of "for sale" signs shall be reimbursed, in lieu of and not exceeding local real estate multiple-listing service (MLS) charges, on presentation of evidence of payment and proof that:

(a) the residence has been sold;

(b) the residence is or has been occupied as the principal residence by the employee or a dependant as defined in FSD 2.01(j);

(c) the residence is on a lot size not in excess of 1.235 acres (1/2 hectare), or where required by zoning laws, a lot size of not more than 4 acres (2.47 hectares); and

(d) the property has been advertised until sold (there may be brief interruptions).

16.15 Construction of New Principal Residence

An employee who constructs a principal residence shall be reimbursed those expenses related to the purchase of the land and the construction of the home that would have been reimbursed had a home been purchased.

16.16 Employee-Couples

(a) Who May Claim: Only one employee of an employee-couple may claim under this directive unless:

1. each employee has already claimed real estate and legal/notary fees prior to becoming an employee-couple, in which case there is no entitlement; or
2. the employees were married following notification of posting, in which case:
   1. each eligible employee may claim real estate and legal/notary fees on the sale of a principal residence; and
   2. one eligible employee may claim legal/notary fees on the purchase of a principal residence.

(b) Divorce: In the case of divorce, each employee shall revert to single status and shall retain any unused entitlement to payment of real estate and legal/notary fees on the sale and/or purchase of a principal residence. Where real estate and/or legal/notary fees have been claimed by an employee-couple, the employee who made the claim has used the entitlement and may not make a subsequent claim.

16.17 Relocation Between Canadian Cities and Relocation Between Mission/Canadian City Other than Employee's Headquarters City

(a) Subject to Section 16.08 - Tax Implications, the limitations of Section 16.06(b) - Career Foreign Service Employees (Rotational) and of Section 16.07(a) and (b) - Foreign Assignment Employees (Non-Rotational) shall not apply for relocations between Canadian cities, and for relocations between the mission and a Canadian city other than the employee's headquarters city.

(b) For the purpose of Section 16.17(a):

1. an assignment in Canada must be for a period of more than three years, as confirmed by the Posting Confirmation Form (or similar document); and
2. assignments outside Canada are as determined by the deputy head.

(c) Relocations between the mission and a Canadian city other than the employee's headquarters city shall be subject to FSD 15 - Relocation and to this directive (FSD 16 - Assistance for a Principal Residence).

(d) Sale of Principal Residence: On relocation to a mission, an employee may claim expenses for the sale of a principal residence which has been occupied for a period of more than three years in a Canadian city other than the headquarters city, notwithstanding that the assignment outside Canada may be for a period of less than three years.

(e) Purchase of Principal Residence: When claiming expenses related to the purchase of a principal residence on relocation from a mission to a Canadian city other than the employee's headquarters city, the period of assignment must be in accordance with the National Joint Council (NJC) Integrated Relocation Directive. As of June 1, 2003, this is a period in excess of three years.

(f) Relocations between Canadian cities shall be subject to the National Joint Council (NJC) Integrated Relocation Directive.

(g) In applying the National Joint Council (NJC) Integrated Relocation Directive, where the principal residence is in the headquarters city, real estate and legal/notary fees associated with its sale shall be reimbursed even if the residence had not been occupied by the employee at the time of relocation.

16.18 Cleaning of Employee's Residence

Upon production of (a) receipt(s), the employee may be reimbursed up to a maximum of $100.00 for the cost of professional cleaning of the residence after the household effects have been loaded.

---

Appendix A
Example - Mortgage Interest Differential

Data

• Principal amount of the former mortgage at the date payments on this mortgage terminated (April 30, 1981) - $35,694.93.
• Unexpired period of the former mortgage - 16 months
• Former location mortgage

Commencement date	- August 1, 1977
Renewal date	- August 1, 1982
Rate	- 8 %
Amortization period	- 25 years
Payment per thousand dollars	- $7.64
Monthly interest factor	- .0065581970

• New location mortgage (Initial) (transferred from previous owner on May 1, 1981, duration 10 months)

Commencement date	- March 1, 1977
Renewal date	- March 1, 1982
Rate	- 10 3/4 %
Amortization period	- 25 years
Payment per thousand dollars	- ?
Monthly interest factor	- .00876405312

First application for assistance, for the period May 1, 1981, to March 1, 1982.

Second application for assistance, for the period March 1, 1982 to August 1, 1982.

• New location mortgage (renewal)

Commencement date	- March 1, 1982
Renewal date	- March 1, 1983
Rate	- 18 1/2 %
Amortization period	- 15 years
Payment per thousand dollars	- $15.98
Monthly interest factor	- .0148540152

---

Appendix B
Example - Calculations

First application for assistance

Former mortgage for period May 1, 1981, to March 1, 1982

Month	Interest which would have been paid (1.2.2(a))	Principal payment	Monthly payment	Principal balance
	Factor (.0065581970)		(Payment Per) '000$
April 1, 81			7.64	35,694.93
May 1, 81	234.09	38.62	272.71	35,656.31
June 1, 81	233.84	38.87	272.71	35,617.44
July 1, 81	233.58	39.13	272.71	35,578.31
August 1, 81	233.33	39.38	272.71	35,538.93
Sept. 1, 81	233.07	39.64	272.71	35,499.29
Oct. 1, 81	232.81	39.90	272.71	35,459.39
Nov. 1, 81	232.55	40.16	272.71	35,419.23
Dec. 1, 81	232.29	40.42	272.71	35,378.81
Jan. 1, 82	232.02	40.69	272.71	35,338.12
Feb. 1, 82	231.75	40.96	272.71	35,297.16
March 1, 82	231.48	41.23	272.71	35,255.93
	2,560.81

---

Appendix C
Example - New location mortgage for period May 1, 1981 to March 1, 1982 (Renewal Date)

Interest to be paid as at April 1

Principal for calculating differential $35,694.93.

Month	Interest which would have been paid (1.2.2(a))	Principal payment	Monthly payment	Principal balance
	Factor (.0065581970)		(Payment Per) '000$
May 1, 81	312.83	39.17	352.00	35,655.76
June 1, 81	312.49	39.51	352.00	35,616.25
July 1, 81	312.14	39.86	352.00	35,576.39
August 1, 81	311.79	40.12	352.00	35,536.18
Sept. 1, 81	311.44	40.56	352.00	35,495.62
Oct. 1, 81	311.09	40.91	352.00	35,454.71
Nov. 1, 81	310.73	41.27	352.00	35,413.40
Dec. 1, 81	310.37	41.63	352.00	35,371.81
Jan. 1, 82	310.00	42.00	352.00	35,329.81
Feb. 1, 82	309.63	42.37	352.00	35,287.44
March 1, 82	309.26	42.74	352.00	35,244.70
	3,421.77

Difference 860 + 11 payments = 78.27 per month

---

Appendix D
Example - Second application for assistance

Former mortgage for period March 1, 1982, to August 1, 1982

	Factor (.0065581970)		(Payment Per) '000$
March 1, 82				35,255.93
April 1, 82	231.21	41.50	272.71	35,214.43
May 1, 82	230.94	41.77	272.71	35,172.66
June 1, 82	230.67	42.04	272.71	35,130.62
July 1, 82	230.39	42.32	272.71	35,088.30
August 1, 82	230.11	42.60	272.71	35,045.70
	$1,153.32

New location mortgage for period March 1, 1982, to August 1, 1982 (renewed March 1, 1982, at 18 1/2%).

Principal as at March 1, 1982 - $35,255.93.

Amortization period - 15 years.

---

Appendix E
Example - Calculation of Differential

Monthly interest factor .0148540152
Monthly payment per thousand .98
Payment per month

	Factor (.0148540152)		(Payment Per) '000$
March 1, 82				35,255.93
April 1, 82	523.69	39.70	563.39	35,216.23
May 1, 82	523.10	40.29	563.39	35,175.94
June 1, 82	522.50	40.89	563.39	35,135.05
July 1, 82	521.89	41.50	563.39	35,093.55
August 1, 82	521.28	42.11	563.39	35,051.44
	$2,612.46

Difference $1,459.14 + 5 payments = $291.83

FSD 17 - Assistance for spouses or common-law partners

Introduction

In certain cases, the employer provides specific financial assistance to spouses or common-law partners to assist them in securing employment at post, or upon return to Canada to facilitate re-entry into the Canadian workforce.

Assistance in maintaining two households may also be provided when spouses or common-law partners remain in Canada for reasons of education, employment or family-related reasons.

Directive 17

17.01 Association Dues

(a) Where a spouse or common-law partner, who is residing with an employee at a post, is accredited to a professional association(s) in Canada, was employed in the relevant profession within one year prior to departure from Canada and is required while abroad to pay dues to such professional association(s) in order to retain professional certification, the deputy head may authorize the payment of an allowance to the employee to cover the cost, while abroad, of annual dues in respect of memberships in up to two professional associations.

(b) In lieu of the provisions of Section 17.01(a), the deputy head may authorize payment of an allowance to cover membership dues to association(s) which are directly related to maintaining employment contacts that facilitate re-entry into the Canadian workforce, to a maximum amount of $300 per year.

(c) To claim the allowance under Section 17.01(a), the employee must provide a letter(s) from association(s) concerned certifying as to the necessity of such dues while outside Canada. To claim the allowance under Section 17.01(b), the employee must provide a letter(s) from the association(s) concerned indicating that dues are assessed.

(d) The employee shall provide the employer with such proof as the employer may require to ensure that this allowance was utilized for the purpose intended.

17.02 Employment Related Allowances

(a) An employee may claim an allowance of $500 for a spouse or common-law partner, to assist in finding employment following relocation to and/or from Canada or for a cross-posting, subject to the following conditions:

(b) Eligible expenses include, but are not limited to:

(c) the employee shall provide the employer with such proof as the employer may require to ensure that this allowance was utilized for the purpose intended.

(d) The allowance may be claimed once per relocation, either within one year of arrival at the new place of duty, or upon official confirmation of a posting or assignment to Canada. It is recognized that eligible costs may be incurred prior to receipt of posting confirmation. The deputy head may extend the one year period for good and valid reasons.

(e) At the discretion of the deputy head, the provisions of this section may be extended to include situations where a spouse or common-law partner has not been employed outside Canada because paid employment was not available at the employee's post; or not employed within a year of departure from Canada due to leave for care and nurturing of pre-school age children, illness, education, or elder care.

17.03 Retraining in Canada

(a) Where a spouse or common-law partner, who is residing with an employee at post, is accredited to a professional association(s) in Canada, was employed in the relevant profession within one year prior to departure from Canada and is required to undergo retraining on return to Canada to re-acquire professional certification at the level previously held, the deputy head may authorize reimbursement to the employee of the actual and reasonable tuition costs incurred for mandatory re-training courses when commenced within twelve months of return to Canada.

(b) At the discretion of the deputy head, reimbursement of actual and reasonable costs of education/training completed in Canada may be authorized up to a maximum of $1,000 where:

17.04 Once per Career Assistance for Spouses or Common-law Partners (formerly FSD 15.34(a)(ii)(F) and (G))

(a) Where an employee accepts an assignment on an unaccompanied basis, and the employee's spouse or common-law partner remains in Canada for one of the reasons listed below, a waiver of 100% of the employee's shelter cost shall be approved to assist with dual residence costs for the period during which the employee and spouse or common-law partner are separated.

(b) This provision only applies to situations where the spouse or common-law partner stays in Canada for the duration of the employee's agreed upon tour of duty,

(c) Assistance shall be limited to two separations in an employee's career, once for reasons of employment, and once for reasons of education. However, in the event of an employee's remarriage, this assistance shall again become available.

Instruction

These provisions are designed to recognize those dual residence costs resulting directly from an employee's assignment outside Canada, on an unaccompanied basis, where the employee's spouse or common-law partner, who had been residing with the employee at the employee's place of duty, chooses to remain in Canada for reasons of employment or education.

17.05 Special Short-Term Separation Assistance for Spouses or Common-law Partners

Provisions for additional assistance are found in the Appendix to this directive.

---

Appendix - Special Short-Term Separation Assistance for Spouses or Common-law Partners

Introduction

1. These provisions are introduced on a trial basis, for a three-year period from June 1, 2001 to May 31, 2004. It had been agreed to extend this assistance for an additional one-year period to May 31, 2005, to provide additional time to complete the scheduled review. As this review has not been completed, this assistance has been further extended to the effective date of changes resulting from the next cyclical review of the FSDs, that is January 1, 2008, or such earlier date on which revised provisions become effective. (revised June 1, 2006)

2. The exception is financial assistance to children at post, while the employee's spouse or common-law partner remains in a principal residence in the headquarters area. This provision was introduced on a trial basis for a one-year period from June 1, 2001 to May 31, 2002, and was subsequently extended until May 31, 2004.

3. The provisions may be extended beyond the end of the trial periods, with the agreement of the NJC Committee on the FSDs. Extensions shall normally be limited to one-year periods.

4. These provisions may be amended during the trial period, with the agreement of the NJC Committee on the FSDs.

5. These provisions carry certain restrictions which employees should consider carefully.

Purpose

6. The purpose of these provisions is to provide greater flexibility for spouses or common-law partners who, for employment, education, or family-related reasons, may wish to stay in the headquarters area for part of the employee's posting.

7. Assistance shall be limited to situations where the spouse or common-law partner resides in a principal residence in the headquarters city.

8. It is not the purpose of these provisions to facilitate a permanent spousal separation or marriage breakdown. Employees who are in the process of dissolving a spousal union, or who are in a situation of indefinite spousal separation which may result in dissolution of the spousal union, are not eligible for these provisions. Such employees should be aware that benefits claimed under false pretences may be recovered, and, in addition, the employee may be subject to disciplinary action.

Eligibility

9. In order to qualify for these provisions, an employee's spouse or common-law partner must spend a minimum of twelve (12) consecutive months at the employee's post, at the beginning or end of the employee's assignment at that post, to coincide with the employee's relocation on arrival or departure. During that time, the normal provisions of the Foreign Service Directives shall apply, subject only to the conditions contained in this Appendix.

Application

10. It is the responsibility of the employee to inform the employer, in advance of posting, of the details of the anticipated short-term spousal separation, in order to qualify for these provisions. However, in exceptional circumstances, the employer will consider an employee's application for these provisions during the posting.

11. Employees at post as at June 01, 2001 may apply for these provisions as long as a period of at least 12 months remain in the current assignment, including any extension, and

a) the employee's spouse or common-law partner has or will have accompanied the employee for a minimum of 12 months during the current assignment, before preceding the employee on relocation to Canada, or

(b) the employee's spouse or common-law partner will be joining the employee at post, for a minimum of 12 months, before relocating with the employee to Canada, except that

(c) an employee who has been authorized a waiver of shelter cost under the provisions of FSD 15.34(a)(ii)(F) or (G) of the 1993 FSDs for the current assignment and who wishes to convert to Special Short-Term Separation Assistance for Spouses or Common-law Partners shall repay any monies owing to the Crown as a result of the retroactive application of these provisions to the commencement date of the assignment, and

(d) an employee who opts for Special Short-Term Separation Assistance for Spouses or Common-law Partners in lieu of previously approved provisions under FSD 15.34(a)(ii)(F) or (G) of the 1993 FSDs, shall retain the once-per-career option for future use.

Shelter

12. A waiver of 70% of the employee's shelter cost shall be approved to assist with dual residence costs for the period during which the employee and spouse or common-law partner are separated and the spouse or common-law partner resides in a principal residence in the headquarters city.

13. An employee's shelter cost shall reflect the actual household size on the date of occupancy of permanent accommodation at post, and shall be adjusted to reflect the arrival and departure of dependants in accordance with the provisions of FSD 25 - Shelter.

14. Given that household size will change during the posting, the Mission shall make every effort to allocate suitable housing, having regard to the employee's actual household size.

Application of the Foreign Service Directives

15. Unaccompanied employee

Where an employee is unaccompanied at post during the period in which a waiver of shelter cost has been approved, the normal provisions of the Foreign Service Directives continue to apply, except that:

(a) the total number of times an employee may claim a family reunion travel allowance for separated dependants under FSD 51 - Family reunion, for the duration of posting, shall be reduced by one, and

(b) relocation provisions under FSD 15 - Relocation, shall be subject to the provisions of this Appendix.

16. Employee accompanied by dependent child

(a) While these provisions are designed primarily for unaccompanied employees, it is recognized that there may be situations where, because of family circumstances, an employee may be accompanied by a dependent child while separated from the spouse or common-law partner.

(b) Where an employee is accompanied at post by a dependent child during the period in which a waiver of shelter cost has been approved, the normal provisions of the Foreign Service Directives continue to apply, except as specified below:

FSD 50 - Vacation Travel Allowance (VTA)

17. While this directive continues to apply to employees while receiving a waiver of shelter cost, it only applies to an accompanying dependant who is resident at the mission long enough to qualify for the VTA, in accordance with the provisions of FSD 50.

FSD 51 - Family Reunion

18. The allowance shall be determined on the basis of travel by all separated dependants, during the period of separation, for the 12-month period commencing on:

(a) the date of the employee's arrival at post, where the employee is not accompanied by the spouse or common-law partner on initial arrival at post, or

(b) the date the employee's spouse or common-law partner departs the post, where the spouse or common-law partner accompanied the employee on initial arrival at post.

19. At the request of the employee, approval will be given for the employee, and any accompanying dependants at the employee's post, for travel to the headquarters city, in lieu of travel of all separated dependants to the employee's post. Where there are school-age children, one of the trips must be for the purpose of family reunion during the long school holiday recess. In all cases, the allowance shall be calculated on the basis of return travel from the headquarters city to the employee's post.

FSD 15 - Relocation

20. The provisions of FSD 15 - Relocation, shall apply to an employee and, as applicable, to a dependant who

(a) accompanies the employee to post for a minimum of 12 months and subsequently returns to the headquarters city with, or in advance of, the employee, or

(b) joins the employee at post for a minimum of 12 months, subsequent to the employee's arrival, and returns to the headquarters city with the employee.

The total weight limitation for all shipments of personal and household effects shall be determined on the basis of the employee's normal household size, as if all dependants had accompanied the employee for the duration of posting.

Re-Opener

21. At any time during the life of this Appendix, either party can request an amendment to facilitate administration or to clarify provisions. Any changes require agreement by the NJC Committee on the FSDs.

Disputes

22. For purposes of any disputes arising from the application of this Appendix, the parties agree to utilize Section 15 (Request for interpretation or clarification) of the National Joint Council By-laws prior to proceeding to any formal grievance.

Expiration

23. The parties agreed to extend this Appendix to May 31, 2005. Notwithstanding the above, Special Short-Term Separation Assistance for Spouses or Common-law Partners authorized while these provisions are in effect shall remain in effect for the specific period authorized. (revised June 1, 2004)

Review

24. The parties agree to review the provisions of this Appendix two months prior to the expiry date of the trial period, that is, no later than April 1, 2005 to decide if it would be extended, incorporated into the Directive on a permanent basis, or terminated. This review may include amendments, as agreed. (revised June 1, 2004)

To facilitate this review, the Department of Foreign Affairs and International Trade, which is responsible for the administration of the Foreign Service Directives, is required to record usage, costs and demographics of all the provisions authorized during the trial period, as outlined in FSD 70 - Reporting requirements and verification of allowances.