1

Summary

VRP Test Program began in April 2004.

As of end of FY ’04, 295 Relocations performed at an average cost of $14,331 per move – a significant cost savings from previous average of $72,000 per move for Border Patrol. Savings thus far: $17,000,000.

DHS CBP Border Patrol Voluntary Relocation Plan (VRP) Lump Sum

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Summary (Continued)

CBP views program favorably due to reduced cost per move and reduced administrative overhead.

No post audits of transfers.

No tax gross-up issues.

DHS CBP Border Patrol Voluntary Relocation Plan (VRP) Lump Sum

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Summary (Continued)

CBP can handle more transfers with the same staff.

Survey of Participants: Overall – “good” rating. Lump Sum Amount – “fair” rating. Primary Complaint – Small net amount due to tax withholdings.

DHS CBP Border Patrol Voluntary Relocation Plan (VRP) Lump Sum

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Recommendations

Continue VRP Pilot through expiration date of October 20, 2005.

Expand Pilot (Subject to GSA Approval).

Increase lump sum amounts to offset the tax liability to transferees (This option is currently being investigated.

DHS CBP Border Patrol VRP Lump Sum

5

Recommendations

Improve communications to potential transferees

Streamline approval process to speed up payments

DHS CBP Border Patrol VRP Lump Sum

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Background

CBP’s Office of Border Patrol performs vital mission of protecting U.S. borders, but with limited resources.

As border threats increased after 9/11, there was a convergence of the need to relocate agents and agents’ desires to transfer to border locations.

DHS CBP Border Patrol VRP Lump Sum

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Background (Continued)

In search of funding, CBP learned that PL 105-264 permits GSA to authorize Federal Agencies to conduct test programs outside of the requirements of the FTR.

GSA approved CBP’s innovative relocation plan to provide lump sum payments ranging from $5 to $20 thousand to volunteer transferees.

DHS CBP Border Patrol VRP Lump Sum

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Highlights (Results based on information provided by respondents)

Average net amount received after taxes, $9,045, was 65% of the average pre-tax Lump Sum of $13,939.

Over 2/3 of the Agents moved themselves to their new duty stations. 11% used a moving company exclusively. 21% used a mix of both movers & their own means of transportation.

DHS CBP Border Patrol VRP Lump Sum Relocation Survey Results

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Highlights (continued)

Agents gave the process of moving their household goods a “fair” rating on the scale.

On average, Agents reported that they spent $10,479 on their moves, $1,434 more than their average net lump sum after taxes of $9,045.

Almost 65% of respondents would recommend the

VRP program to others.

DHS CBP Border Patrol VRP Lump Sum Relocation Survey Results

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Highlights (continued)

70% of the Agents would participate in the VRP program again if the opportunity arose.

83% of respondents had narrative comments. Most frequent critical comments: tax on lump sum; low amount of lump sum; and poor timeliness in receiving lump sum.

DHS CBP Border Patrol VRP Lump Sum Relocation Survey Results