U.S. DEPARTMENT OF AGRICULTURE
WASHINGTON, D.C. 20250
|
DEPARTMENTAL REGULATION
|
Number:
DR 4080-811-04
|
|
|
DATE:
July 29, 2015
|
|
SUBJECT: USDA Commuter
Transit Subsidy Benefits Program
|
OPI:
Office of Human Resources
Management (OHRM)
|
Section Page
1. PURPOSE.. 2
2. SPECIAL
INSTRUCTIONS/CANCELLATION.. 2
3. DEFINITIONS. 2
4. USDA POLICY.. 5
5. PROCEDURES. 6
6. ROLES AND RESPONSIBILITIES. 7
7. Applicable Laws and Authority.. 9
8. USDA Transit Benefit Program... 9
9. Internal Controls and Testing.. 11
10. Integrity Awareness Training.. 12
11. References. 13
13. FORMS. 13
FIGURE 1 – Sample Transit Benefit
APplication (PAGE 1)................................ 14
FIGURE 2 –
SAMPLE TRANSIT BENEFIT APPLICATION (PAGE 2)................................ 15
FIGURE 3 –
SAMPLE MEDIA RETURN FORM (PAGE 1)................................................... 16
FIGURE 4 –
SAMPLE MEDIA RETURN FORM (PAGE 2)................................................... 17
a.
BACKGROUND
USDA supports programs that improve air
quality and reduce traffic congestion.
USDA will provide a non-taxable subsidy designed to encourage employees
to use mass transportation for their daily commute to and from their duty
station. USDA offers transit benefit
distribution services nationwide, to all USDA agencies and offices, utilizing
the automated TRANServe service by the Department of
Transportation (DOT). This established
distribution system provides extensive and effective internal controls to Federal
employees and eliminates duplication and repetition of these functions.
Any
mission area/agency/staff office granted a waiver from participating in the
Department-wide Service Agreement will not be exempt from the other
requirements of this DR.
b.
AUTHORITY
USDA’s Transit Benefit Program was established in 1991 when the Federal
Transit Administration (FTA) began pilot testing a program, which provided up to $21 per month
in transit fare media to its employees.
In 1993, as part of a national effort
to improve air quality and to reduce traffic congestion, the Federal
Employees Clean Air Incentive Act (FECAIA
Public Law No. 103-172) was signed into law, authorizing Federal participation in the Transit Benefit Program.
On April
21, 2000, President Clinton signed
Executive Order 13150, Federal Workforce Transportation Fringe Benefit,
which sought to reduce Federal employees’ contribution to traffic congestion
and air pollution.
In
2005, the Safe, Accountable, Flexible, Efficient Transportation Equity Act: A
Legacy for Users (SAFETEA- LU), which is Public
Law 109-59 (August 10, 2005), required Federal agencies to
implement Transit Benefit Programs for all eligible employees.
a. The
directive is to set forth USDA policy on the Commuter Transit Subsidy
Program. This directive supersedes
previously issued Departmental Regulation (DR) 4080-811-04, December 7, 2004.
a.
Amended Application. An
application for transit benefits that reflects changes such as
name, duty location, and actual cost of transit requested/reported.
b.
Approving Official. Supervisor,
or person of authority, required
to review application for completion and reasonableness.
c.
Carpool.
An
arrangement between two or more employees to commute to and from work on a
daily basis. A carpool does not qualify
as a Commuter Highway Vehicle (van pool).
d.
Cash
reimbursement. Agency/office
reimbursement for the actual cost of mass transportation up to the limit of the
benefit for the month when fare media is unavailable.
e.
Certification. Occurs
during initial application or change in application by his/her supervisor and USDA
Transit Benefit Coordinator and/or Program Manager.
f.
Contracting
Officer Representative (COR). Ensures proper development of requirements
and assists Contracting Officer (CO) with managing the funding contract
(Inter-Agency Agreement/Service Agreement).
g.
Daily commute
to and/or from work. Using some form of mass transportation when commuting to and from work.
h.
EFM. Electronic fare media.
i.
Extended leave.
A period greater than 90 days that an employee is absent from work.
j.
False Claim. Knowingly presenting or causing
to be presented to the Government an untrue statement.
k.
Fare Media. Any fare card, transit pass, token, voucher, or similar item that can be exchanged for mass transit.
l.
Fund Certifying Official. Federal employee in authority to review the budgetary
funding.
m.
Integrity Awareness Training. The Training Management System (TMS) course clarifies
transit benefit requirements by
educating participants of their
roles and responsibilities, to enhance participant understanding, addressing ramifications of non-compliance, emphasizing internal controls
to minimize fraud and abuse,
as well as penalty for fraud.
n.
Mass Transit Expense
Worksheet. A form used by a qualified Federal
employee to determine the
transit benefit amount per month. This worksheet is posted on TRANServe website at https://transitapp.ost.dot.gov
o.
Mass Transportation. Public Transportation operated for use by the public
(e.g., buses, subways, ferries, commuter buses,
trains, and qualified vanpools).
p.
National Capital Region (NCR). Per Executive Order 13150, the NCR consists of the District of Columbia;
Montgomery, Prince George’s, and Frederick Counties in Maryland; Arlington,
Fairfax, Loudon, and Prince William Counties in Virginia; and cities now or
hereafter existing in Maryland or Virginia within the specified geographic area
above.
q.
POV. Privately-owned vehicle.
r.
Qualified Federal
Employee. A current USDA paid Federal employee
or USDA
paid intern. Employees are required to complete the Transit
Subsidy’s Integrity Awareness Training in TRANServe website: https://transitapp.ost.dot.gov
s.
Qualified Ferry. Ferries are approved form of public transportation as walk on only. They are
not approved to shuttle a participant’s POV from one point to another then
complete the journey by POV. Approved vanpools and their riders are eligible to claim
ferry ticket costs and may include the cost of the van ticket.
a.
Qualified Vanpool.
A highway vehicle with seating
capacity for at least six adults, excluding
the driver. Vanpools may be privately-owned, operated by a transportation company or a public transportation provider.
Qualified Vanpools are as the following:
(1)
Each vanpool shall designate a primary operator who is the permit holder.
One alternate operator may be named. The
primary operator may not apply
for the transit benefit. All other federal
employees in
the vanpool, including the alternate, are eligible to collect the transit benefit.
(2)
Transportation
of employees to and from work must represent
80% of the van’s usage and may be made up
of Government and non-Government employees.
(3)
Per the Internal Revenue Service (IRS) Regulation 26 CFR §1.132-9 – Qualified
transportation fringes –
General Rules – Q3 A3 (b) -
… A qualified vanpool service must be “provided
by any person in the business of transporting persons
for compensation or hire in a highway vehicle with a seating
capacity of at least six adults
(excluding the driver).”
(4)
In the NCR, vanpools are required to register with the local transportation authority in order to be eligible
to receive and negotiate vouchers.
(5)
Individual Federal employees are eligible
to start up a private
vanpool. When
a private vanpool meets the established criteria, riders
are eligible to receive
the transit benefit. Private vanpools operated by Federal employees are not connected with or sanctioned by the Federal government.
(6)
Vanpool riders may not
use their transit
benefit to “hold” a seat for a period
of 30 days or more. Riders must withdraw from the vanpool program after 60 days of inactivity.
(7)
Vanpool charges must reflect reasonably and equally costs
and rates charged for all passengers. Rates
may be reduced or waived for the driver, who is not eligible to receive the transit benefit.
b.
Recertification.
The process by which
a qualified Federal
employee completes annually
to confirm his or her eligibility to continue to receive the transit benefit.
c.
Transit Benefit Coordinator (TBC). Federal employee who has the overall
responsibility for communication, coordination, and management of their respective agency/office’s transit benefit program
to ensure transparency and prevent any misuse of benefits.
d.
Transit Benefit
Program Manager (PM). Federal employee who has
overall responsibility to manage USDA Transit Benefit Program, the
PM is managing the lifecycle activities to ensure the intended outcomes are
achieved.
e.
Transit Benefit.
A non-taxable transportation fringe
benefit providing employees with vouchers or
other fare media
to commute via mass transit to and from work.
USDA will provide a non-taxable subsidy designed to encourage its USDA paid employees to use
mass
transportation for their daily commute
to and from work, up to the
limit of funding authorized by Congress.
f.
This policy and guidance applies to all USDA
organizations including all applicable agencies and offices using TRANServe.
g.
Indirect costs, such as gas, mileage, parking,
or an employee’s payments for a personal or leased vehicle, are not included as
part of the cost qualifying for the transit benefit.
h.
PROHIBITED:
Deliberately overestimating transit costs, giving, or selling the
transit benefit to others, or purchasing fare media from participant(s) is
prohibited.
LIMITATIONS: Participants
are not permitted to accumulate fare media in excess of their actual monthly
commuting costs. The monthly benefit may
be issued in advance of the month for which it is intended, the amount of any
unused benefit must be returned.
i.
LIABILITY: Once fare media is issued, it remains
in the personal possession of the employee. Lost, stolen, or damaged fare media will not
be replaced by the program.
j.
CERTIFICATIONS:
All transit benefit recipients are required to self-certify annually in
order to continue to receive the transit benefit. The benefit is tied to the calendar month and
will not be issued retroactively. Participants
will be automatically withdrawn from the program if annual recertification is
not completed or inactive for 3 months.
k.
CHANGES: Participants
are responsible for adjusting their transit benefit amount when changes to
commuting methods, teleworking, or change of address.
l.
MANDATORY TRAINING: Approving Officials, Supervisors, TBCs, and
participants must complete a mandatory transit training annually at http://transerve.dot.gov.
TBCs are authorized to disqualify employees under their jurisdiction who have
been determined to have misused the transit benefit subsidies. Instances of fraud or possible fraud shall be
referred to the USDA Office of the Inspector General.
m.
NON-PARTICIPATION IN PROGRAM: Participants who decide to stop participating
in the Transit Benefit Program or on extended leave of 90 days or more must
withdraw from the program.
n.
NON-PICKUP:
Participants who do not pick up their transit benefit for three months
will be automatically withdrawn from the program.
o.
EXCESS VOUCHER FUND: There are occasions where available voucher
denominations do not precisely match the cost of a ticket. When the voucher amount is $2 or less over the
actual ticket amount the additional cost is acceptable.
p.
PARKING PERMITS:
Employees named on a federally-subsidized workplace motor vehicle
parking permit are not eligible to participate in this program. The phrase, named on a federally-subsidized
workplace permit, means an individual who drives, or is a passenger in a
privately-owned or leased vehicle and who parks in a federally-subsidized
parking area. Any government-provided,
owned, or leased parking area is considered federally-subsidized.
Exception is some agency’s locations (Forest Service)
permit all employees to park, whether they use it or not. If, for agency operations reasons or under
exigent circumstances, transit benefit participants need to commute by
privately-owned or leased vehicles, they may request temporary parking permits.
If a participant uses their parking
permit, they shall make corresponding adjustments to their request for transit
benefits.
Managers may determine that it is necessary to Agency operations
for selected employees to use federally-subsidized parking areas because of
changes in their work schedules or in exigent circumstances. Some participants may request authority to use
the facility parking areas on an extremely limited basis.
a.
Initial registration in the TRANServe Transit Subsidy Benefits electronic application (eApp) via TRANServe website (https://transitapp.ost.dot.gov).
(1)
The “Applicant Guide” and “Approving Official”
Guide can be found in the above website, under the USDA section.
(2)
Transit Subsidy Benefit participants shall register
in the eApp (See Applicant Guide)
(3)
Participant’s supervisors will register in the eApp (See Approving Official Guide)
(a)
The supervisors (with the National Finance
Center Supervisor code) will inform the TBC or the PM/COR of the registration
status and request “elevation” to first approval level user.
(b)
DOT and the PM/COR will confirm the requesting
supervisor and will elevate the user.
(4)
The TBC will register in the eApp
(a)
The
TBC will inform the PM/COR of the registration status and request “elevation”
to second approval level user.
(b)
The
PM/COR will inform DOT to elevate the user.
(5)
Departmental PM/COR are the Admin User level.
b.
Enrollment/Change/Recertification:
(1)
Participants submit their
enrollment/change/re-certification on line.
(2)
The electronic application will then be sent to
the Supervisor for approval. Supervisor will ensure the participant has taken the Integrity
Awareness Training and the correct monthly transit estimates.
(3)
If approved by the supervisor, the eApp will be sent in the system to the TBC.
(4)
The TBC will review the application and approve
the eApp in the system.
(5)
If approved, the eApp is
routed to DOT for processing.
(6)
NOTE: If a TBC is also a participant, the
application will go to the supervisor, then to the headquarters level TBC or
the Departmental PM/COR.
The approval chain is as the following:
(a)
Participant
(b)
Participant’s
Supervisor
(c)
TBC
- Field / Headquarters
(d)
Departmental
COR / PM
(e)
DOT
a.
Department of Transportation (DOT):
Transit Program Office:
DOT TRANServe
provides a service
to USDA with participants in the Transit Benefit
Program. The role of the TRANServe Program
Office is to:
(1)
Enroll new participants.
(2)
Distribute the Transit Benefit.
(3)
Administer the Transit Benefit Program, IRS
directives, monitor, and reporting.
(4)
Establish and implement established directives.
(5)
Automatically withdrawal participants who have not
used their benefits for 90-days or more. Monitor program’s integrity.
NCR distribution occurs electronically via WMATA Smart Benefits or the Debit Card.
DOT is tasked of fare media distributions for regions outside
of the NCR.
b.
U.S. Department of Agriculture (USDA)
(1)
Office of the Chief Financial Officer (OCFO):
(a)
Monitoring and
examining transit budget and current internal controls for agencies and
offices,
(b)
Identifying potential program vulnerabilities.
(c)
Developing and implementing solutions for
identified vulnerabilities.
(d)
Having knowledge of existing rules and
regulations concerning internal controls.
(e)
Keeping abreast of new developments for best practices in internal controls.
(2)
Agency/Staff Office Transit Benefit Coordinators (TBC) will:
(a)
Designate TBC who have overall
responsibility for communication, coordination, and management of their
respective organization’s transit benefit program, nationwide. DOT will provide guidance and serve on national Transit
Benefit Program questions
or issues. TBC shall
review, monitor, and approve all transit applications with employees’ supervisors.
(b)
Validate mandatory Transit Subsidy Benefit
program “Integrity training” is completed before enrollment and annual
re-certifications are processed.
(c)
Maintain and audit participant rosters and audit
transit reports provided by PM/COR to ensure accuracy.
(d)
TBC shall ensure accuracy and integrity of
program’s funding for his/her agency/office.
Non-participating benefit participants must be withdrawn in order to ensure
proper stewardship and limit fiscal waste of service expenses.
(3)
USDA Transit Benefit Program Manager (PM) and
Contracting Officer Representative (COR):
(a)
Transit
Benefit PM and the COR have overall responsibility to manage the Transit
Benefit Program for USDA. After the DOT
Customer Agreement is signed, the PM takes over the day-to-day contact to
ensure the program is implemented efficiently and effectively.
(4)
Procurement Office: The Procurement Office is responsible for all
aspects of procurement.
(5)
Office of the Inspector General (OIG): Provides independent oversight and
investigative capability related to USDA employee participation in the transit Program.
OIG provides centralized monitoring and
initial investigation of alleged transit benefit sales on the internet, in order to avoid duplication of effort.
(6)
Program Participants:
Federal employees who participate in the Transit
Benefit Program are required:
(a)
To understand the scope and
limitations of the Transit Benefit Program.
(b)
To understand the penalties involved in misuse
or false claims involving the transit benefit.
(c)
Not to be named on a worksite parking permit at
any Federal agency, nor otherwise participate in a carpool.
(d)
To use their transit benefit only for their home
to work transportation.
(e)
To make sure that the amount of the transit
benefit received does not exceed actual monthly commuting cost by public
transportation even though they receive the benefit quarterly.
(f)
To understand that it is a violation of law to
provide false or fraudulent information to obtain the transit benefit, to
transfer, or to sell the transit benefit.
(g)
To personally adjust the transit benefit amount
or changes.
(h)
To report to OIG when transit providers charge
excessive fees. Employees are responsible for determining that charges represent fair market value.
See Section 1.b
USDA seeks
to maintain a program use of mass
transit, in line with congestion reduction, while having effective and useful controls
in place to ensure the program
accomplishes its intended
results.
a.
Approved Public Transportation Modes
(1)
Rail (subway,
commuter and light)
(2)
Bus (transit
authority and commuter)
(3)
Ferry
– approved form of public transportation when used as walk on fares or on
bicycle
(4)
Bicycle
– Federal employees who ride bicycles to and from work may claim the transit
benefit to cover the cost of using mass transit as part of the commute. The Bicycle Benefit Policy, if available, is
managed by each agency individually.
(5)
Qualified
vanpools.
b.
Eligibility: The USDA transit benefit
is available to all USDA paid employees working in a full or part time
– after all processes are completed
and approved:
(1)
Transit Benefit Integrity Awareness Training
(2)
Submission
of transit benefit application
(3)
Approval
of transit benefit application
(4)
It
is the participant’s responsibility to follow up on the status of their transit
benefit application
(5)
The
transit benefit is tied to the calendar
month and will not be issued retroactively.
c.
Calculation of Benefit:
It is the employee’s responsibility to research the projected
cost of transit fares. The application in http://transerve.dot.gov can
assist in the estimation.
Participant will have out of pocket
expenses for the commuting
expenses above the maximum benefit.
Employees must ensure vanpool
charges reflect reasonable costs and profits. Rates may be reduced
or waived for the driver,
who is not eligible to receive the transit
benefit.
d.
Application:
For USDA employees, the Transit Benefit application must be completed on-line
at http://transerve.dot.gov. Employees are asked to confirm specific
information including their complete home address as well as their permanent duty station location.
e.
Termination of Benefits:
Media can be returned
by mail or in person to the TBC. The
media must be undamaged, unused,
and accompanied with a completed Media Return Form, see
your TBC
When an employee terminates Federal service or transfers to another Agency, he/she must do the
following:
(1)
Return or repay excess fare media in the form of a money order
f.
Parking: Employees who are receiving the transit benefit
may not be named on a federally-subsidized parking permit nor allow
their name to be used on a carpool
list if that carpool
parks in a federally-subsidized
parking lot, except for a few
offices located outside of NCR where exceptions are posted.
g.
Reporting:
(1)
Distribution
Reports:
The DOT
maintains a certified reporting system
based on information submitted on the application. Standard reports are produced for USDA on a monthly basis and Ad Hoc basis.
(2)
Account Activity Statement (AAS):
A monthly
AAS will be provided with a detailed
report of employee participation in the program. The monthly reports
will be sent to
the TBC and OCFO for review and audit.
Billing records
and other information will be maintained according to National
Archives and Records Association guidelines and requirements to enable the agency
to comply with audit requirements.
(3)
Six-Month Report:
The Quarterly Six-Month report
is used as a means to review six months’ worth of pickup records for participants and gives TBC the tool to evaluate if participants are adjusting their transit
benefit amounts upon changes to commuting methods,
work schedules (such
as leave, holidays or teleworking), or changes of address.
Fare media is
a cash equivalent and requires
an extensive system of internal controls
that provide oversight for inventory maintenance and distribution activities.
Internal controls must be tested on an annual basis and subjected to a certified and accredited audit by a
third party every three years. The controls
must be highlighted in management’s assurance statement.
a.
Secure Media: USDA recognizes the fare media it distributes is a cash equivalent and has an extensive system for internal controls that provides oversight for inventory maintenance and distribution activities. USDA and DOT use various types of internal
controls to ensure effective inventory control. OCFO
and each TBC will monitor and review USDA’s internal controls and ensure that all requirements are effectively fulfilled.
b.
Fraud and Abuse:
(1)
Application/Estimate of Transit Benefit: Initial
applications include street address, city, work location, mode of transportation,
and commuting costs must be reviewed and
approved by an Approving Official.
(a)
The Participant must certify that information
is accurate and acknowledge punitive actions may result from violations of
program requirements.
(b)
Continuing Eligibility – All participating
employees must recertify annually. Employees
must update changes to mode of transit or commuting costs.
(c)
TBC and agencies shall audit the transit and
parking systems on a regular basis to ensure employees are not receiving both benefits.
(2)
Verification of Eligibility: The Approving Official must ensure that the employee
is aware of the limitations and use requirements of the transit benefit.
(3)
Human Resources
(HR) Exit Procedures: HR Exit Procedures include
withdrawal of participants from the Transit
Benefit Program.
(4)
Distribution:
For on-site distribution, check
the following information:
(a)
Government identification.
(b)
Enrollment in the program’s verification.
(c)
Amount of benefit’s
verification.
(5)
Parking Permit List: All agency employees who receive parking are not eligible
for the transit
benefit. Parking Office is responsible for auditing parking permits
against the transit benefits’ report monthly.
a.
USDA Employees:
All USDA participants
of the Transit Benefit Program
are required to complete the Transit Benefit Integrity
Awareness Training Management System (TMS)
to emphasize responsibility and
identify prohibited practices such as unauthorized use by ineligible employees and inappropriate transfer of fare media.
A slide presentation is available on http://transerve.dot.gov . The
participant is required
to abide the honor system for the participant’s transit benefit application.
b.
Frequently Asked Questions
(FAQ) are posted at http://transerve.dot.gov
a.
DOT Transit Benefit Program Requirements
b.
Executive Order 13150, Federal Workforce Transportation, April 21, 2000.
c.
Government Accountability Office
(GAO), Federal Transit Benefits
Program: Ineffective Controls Result in
Fraud and Abuse by Federal
Workers, GAO-07-724T, Washington, DC, April 24, 2007.
d.
Fiscal and Payroll Policies
and Procedures for the Transit
Benefit Program, OF Bulletin
07GA2.12, March 27, 2007.
e.
GAO Testimony before the Permanent
Subcommittee on Investigations, Committee on Homeland Security and Government Affairs, US Senate.
Federal Transit Benefits
Program – Ineffective Controls Result in Fraud and Abuse by
Federal Workers, April 24, 2007.
f.
IRS Regulation 26 CFR §1.132-9 – Qualified
Transportation Fringes – General
Rules.
g.
Internal Revenue Service
(IRS) Notice 94-3, Qualified Transportation Fringes Under Section
132 (f). Office of Management and Budget
(OMB) Memorandum for the Heads of Departments and Agencies
from Robert Shea,
Associate Director for Management. “Federal Transit
Benefit Program,” May 14,
2007.
h.
OMB Circular 123 Management’s
Responsibility for Internal
Control, Washington DC, December 30,
i.
2005, Appendix A, Implementation Plans August 1, 2005.