Federal Manager's Daily Report

A Navy component memo says that changes to per diem policy that DoD implemented in late 2014 are hampering the willingness of civilian employees to take long-term assignments for ship maintenance, modernization and repair projects.

Under the policy, for long-term temporary duty of 31 to 180 days, the authorized rate is 75 percent of the locality rate (lodging plus meals & incidental expenses) payable for each full day of temporary duty at that location; for TDY greater than 180 days, it is 55 percent. In making the change, DoD said that for assignments of 31 days or more, savings can be achieved by staying in extended-stay type lodgings that cost less per day than short-term hotel or motel rates.

The Naval Sea Systems Command’s memo, asking the DoD per diem governing office for relief from that requirement, echoes criticisms raised by several federal employee unions and by members of Congress before the policy change took effect as well as afterward, that costs would be shifted to the traveling employee. Congress last year considered, but ultimately did not enact, a plan to repeal the change.

Separately, a bipartisan letter from seven senators asked the Pentagon to reconsider the policy in light of the Navy’s objections and said that if DoD itself does not act, another effort could be made to repeal the change.

Several other agencies also pay lower rates for long-term assignments; details of those policies vary.