Thursday, June 25, 2009

Government charge cards can now be used for moving expenses

Soldiers and Army civilian employees can now use their government travel charge card for relocation expenses when moving from one command to another.

New Army policy recently became effective allowing the government charge cards to be used for permanent-change-of-station moves.

“Cardholders will benefit because of the convenience” of using the cards for PCS moves, said John J. Argodale, deputy assistant secretary of the Army for Financial Operations in his memorandum sent to Army commands along with implementing instructions for using the charge card for PCS moves.

The cards can be used for transportation, lodging, meals, temporary quarters, subsistence expenses and approved house-hunting expenses. - any reimbursable expense.

Frank Rago, Army Travel Charge Card Program manager, explained cardholders just can’t charge all of their expenses when driving across country. Stopping at an amusement park en route with the family, auto repairs and retail purchases are examples of non-reimbursable expenses where the card shouldn’t be used.

To educate people, Rago said, cardholders must check in with their agency program coordinator for a briefing and request their card be placed on a PCS status. Then, upon arrival at their new duty station, they must see the agency program coordinator so the account can be transferred to the new organization.

While the card is on PCS status, payment requirements are suspended. Payments will not be due until 30 days after the PCS period ends. Cardholders will not need to worry about delinquency or suspension of accounts during their PCS, Rago said.

In November, the government changed its travel card contract from Bank of America to Citibank.

More than 400,000 Soldiers and Army civilian employees now have government travel charge cards issued through Citibank.

During the last two years of the Bank of America contract, a program was actually in place for cardholders to use their cards for PCS moves, Rago said. But he admitted not many employees knew about the program.

“It was a voluntary program then, and it’s a voluntary program now,” Rago said, adding that the card is recommended for use during PCS moves.

During the contract changeover, use of the card for PCS moves was suspended.

Under the new program, travel advances for participating PCS travelers will only be issued using the charge cards.

The $7,500 credit limit for standard cardholders can be increased by the Agency Program Coordinator in advance of the PCS move, if necessary, Rago said, to cover all reimbursable costs of the move.

The cards also cannot be used for accession or separation moves, such as PCS moves in conjunction with retirement.