Paying for Removing Structures at the Treasure Lake Civilian Conservation Center ( 2019 )


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  • (Slip Opinion)
    Paying for Removing Structures at the Treasure
    Lake Civilian Conservation Center
    The interdepartmental-waiver doctrine, under which one agency generally may not pay to
    restore or repair property in the custody of another agency, prevents the Department of
    Labor from paying to remove structures at a defunct Job Corps site that is located
    within a wildlife refuge in the custody of the Department of Interior. No statutory au-
    thority has displaced that doctrine’s applicability by authorizing the Department of
    Labor to pay for removing the structures.
    February 22, 2019
    MEMORANDUM OPINION FOR THE SOLICITOR OF LABOR
    Your office has asked us to resolve a dispute between the Department
    of Labor (“Labor”) and the Department of the Interior (“Interior”) about
    whether Labor may use its Job Corps appropriation to pay for removing
    several structures at the defunct Treasure Lake Civilian Conservation
    Center (“Treasure Lake”) in the Wichita Mountains Wildlife Refuge in
    Indiahoma, Oklahoma. 1 Under the interdepartmental-waiver doctrine, one
    agency generally may not pay to restore or repair property in the custody
    of another agency. As different arms of a single government, federal
    agencies typically cannot bring claims for repairs or restorations against
    one another; instead, the interdepartmental-waiver doctrine provides the
    long-standing default rule for allocating such costs. Because Interior has
    custody of the land at Treasure Lake, Labor contends that the interde-
    1 In considering this question, we requested and received the views of the Department
    of Labor, the Department of Interior, and the Office of Management and Budget. See
    Letter for Karl R. Thompson, Principal Deputy Assistant Attorney General, Office of
    Legal Counsel, from M. Patricia Smith, Solicitor of Labor (Dec. 21, 2016) (“Labor
    Letter”); Letter for Curtis E. Gannon, Acting Assistant Attorney General, Office of Legal
    Counsel, from Daniel H. Jorjani, Principal Deputy Solicitor, Department of Interior, Re:
    Removal of Treasure Lake Job Corps Facility Structures (June 30, 2017) (“Interior
    Letter”); Letter for Curtis E. Gannon, Acting Assistant Attorney General, Office of Legal
    Counsel, from Heather V. Walsh, Acting General Counsel, Office of Management and
    Budget (July 7, 2017); Letter for Curtis E. Gannon, Acting Assistant Attorney General,
    Office of Legal Counsel, from Nicholas C. Geale, Acting Solicitor of Labor (Aug. 1,
    2017) (“Labor Reply Letter”); E-mail for Daniel L. Koffsky, Deputy Assistant Attorney
    General, Office of Legal Counsel, from Heather V. Walsh, Acting General Counsel,
    Office of Management and Budget (Aug. 30, 2017, 4:54 PM).
    1
    43 Op. O.L.C. __ (Feb. 22, 2019)
    partmental-waiver doctrine requires Interior to restore the property. Inte-
    rior argues that the doctrine should not apply to intentional alterations of
    property and that Labor should rely upon its own appropriations to per-
    form the restoration. We conclude that the interdepartmental-waiver
    doctrine does apply here, and that Congress has not otherwise authorized
    Labor to pay for removing the structures on land in Interior’s custody.
    I.
    The Wichita Mountains Wildlife Refuge is one of the Nation’s oldest
    conservation areas, first established in 1905 by President Theodore Roo-
    sevelt as a reserve for game animals and birds. See Interior Letter at 2;
    Pub. L. No. 58-24, 33 Stat. 614 (1905) (codified as amended at 16 U.S.C.
    § 684); Proclamation of June 2, 1905, 34 Stat. 3062; Pub. L. No. 74-637,
    tit. I, 49 Stat. 1421, 1446 (1936). Interior administers the wildlife refuge
    with the aim of long-term conservation. See Interior Letter at 2; see gen-
    erally 16 U.S.C. § 668dd.
    In 1965, the Wichita Mountains Wildlife Refuge also became home to
    Treasure Lake, a center run under the auspices of the Job Corps program.
    See Labor Letter at 1; Economic Opportunity Act of 1964, Pub. L. No. 88-
    452, § 102, 78 Stat. 508, 508 (establishing Job Corps). Since 1998, Labor
    has overseen the Job Corps program, which is a primarily residential
    program that offers education and vocational training to young men and
    women. See 29 U.S.C. §§ 3191, 3194(a), 3197(c); Workforce Investment
    Act of 1998, Pub. L. No. 105-220, § 143, 112 Stat. 936, 1007. The pro-
    gram has more than 100 centers throughout the country. See Updated
    Methodology for Selecting a Job Corps Center for Closure and Center
    Proposed for Closure, 
    82 Fed. Reg. 44,842
    , 44,843 (Sept. 26, 2017). Most
    Job Corps centers are operated by businesses, nonprofit organizations, or
    tribes that have procurement contracts with Labor. 
    Id.
     But those, like
    Treasure Lake, that are denominated “Civilian Conservation Centers” are
    operated under interagency agreements between Labor and other federal
    agencies. See 29 U.S.C. § 3197(d)(1); 20 C.F.R. § 670.310(e).
    Under a series of such agreements, Labor paid for the buildings, struc-
    tures, and operations at the Treasure Lake Job Corps site. See Labor
    Letter at 2; Interagency Agreement Between the United States Department
    2
    Paying for Removing Structures at the Treasure Lake Civilian Conservation Center
    of Labor and the United States Department of Agriculture Governing the
    Funding, Establishment, and Operation of Job Corps Civilian Conserva-
    tion Centers at 2–3 (March 10, 2008) (“Labor-Agriculture Agreement”).
    Appropriations for the Job Corps provide Labor with funds for, among
    other things, the “construction, alteration, and repairs of buildings and
    other facilities” used in the Job Corps program. Department of Defense
    and Labor, Health and Human Services, and Education Appropriations
    Act, 2019 and Continuing Appropriations Act, 2019, Pub. L. No. 115-245,
    div. B, tit. I, 2018 U.S.C.C.A.N. (132 Stat.) 2981, 3050 (“Labor FY 2019
    Appropriations”); see also Consolidated Appropriations Act, 2017, Pub.
    L. No. 115-31, div. H, tit. I, 131 Stat. 135, 504 (similar provision for prior
    year). Meanwhile, the Fish and Wildlife Service (part of Interior) and the
    Forest Service (part of the Department of Agriculture) at various points
    conducted the day-to-day operations at Treasure Lake. See Labor Letter
    at 2; Labor-Agriculture Agreement at 1–4.
    During its time as a Civilian Conservation Center, Treasure Lake
    evolved into a “26-building facility,” with “a heliport, fuel station, motor
    pool, carpentry shop, brick masonry shop, library, cafeteria, gymnasium,
    dormitories and numerous other features.” Interior Letter at 6. In 2014,
    however, Labor selected Treasure Lake for closure based on performance-
    related statutory criteria. See Final Methodology for Selecting a Job Corps
    Center for Closure and Center Selected for Closure: Comments Request,
    
    79 Fed. Reg. 51,198
     (Aug. 27, 2014) (announcing initial closure deci-
    sion); Final Notice of Job Corps Center for Closure, 
    79 Fed. Reg. 61,099
    (Oct. 9, 2014) (announcing final decision). Treasure Lake closed in June
    2015, and Interior regained complete custody of the land in December
    2015. See Labor Letter at 3.
    Interior now wants Labor to pay for the removal of the Treasure Lake
    structures because Interior views them as “inconsisten[t] with the [Fish
    and Wildlife Service’s] statutory mandate” to manage the Wichita Moun-
    tains Wildlife Refuge. Interior Letter at 6. Specifically, Interior suggests
    that the structures may have lead-based paint and asbestos that could
    contaminate the refuge and that the structures “create a negative visual
    impact to visitors at nearby scenic areas.” 
    Id. at 7
    . The costs of removal
    may run between $7 million and $9.5 million. See 
    id. at 2
    .
    3
    43 Op. O.L.C. __ (Feb. 22, 2019)
    II.
    Labor identifies two primary reasons why it cannot pay to remove the
    structures at Treasure Lake: (1) it contends that the interdepartmental-
    waiver doctrine requires Interior, as the agency with custody of the land,
    to bear the costs of restoring land that was temporarily used by another
    agency; and (2) alternatively, it contends that specific appropriations
    authorize Interior to pay to remove buildings on lands within national
    wildlife refuges, implicitly preventing Labor from using a more-general
    appropriation to do the same thing. See Labor Letter at 1–2.
    Interior disagrees that the interdepartmental-waiver doctrine would bar
    Labor from paying for remediation at Treasure Lake because, in its view,
    that doctrine should be limited to circumstances where one agency unin-
    tentionally damages another agency’s property—excluding those where,
    as here, one agency intentionally alters real property. Interior invokes
    another appropriations principle, the necessary-expense doctrine—which
    permits an agency to make those expenditures reasonably necessary to
    carry out the objects of an appropriation—and contends that Labor may
    use its Job Corps appropriation to pay for removing the structures. See
    Interior Letter at 5–11; see also 1 General Accounting Office, Principles
    of Federal Appropriations Law 4-20 (3d ed. 2004) (“Federal Appropria-
    tions Law”). Interior concludes that the structures’ removal “is more
    central to” Labor’s Job Corps appropriation than it is to Interior’s con-
    struction appropriation. Interior Letter at 9.
    We conclude that the interdepartmental-waiver doctrine prevents La-
    bor from paying to remove the structures at Treasure Lake. The doctrine
    embodies a long-standing principle of appropriations law: The agency
    with custody of property bears the costs of any repairs arising from
    another agency’s temporary use of that property. While that default rule
    may be overcome by a statute—or by an interagency agreement author-
    ized by statute—no statute or agreement applies to overcome the doctrine
    here. Nor does the necessary-expense doctrine suggest a different result.
    Although the necessary-expense doctrine may expand the availability of
    agency appropriations beyond what Congress has expressly specified, it
    does not implicitly authorize interdepartmental reimbursements.
    4
    Paying for Removing Structures at the Treasure Lake Civilian Conservation Center
    A.
    The interdepartmental-waiver doctrine is a long-established piece of
    federal appropriations law. The doctrine prescribes that, absent legislation
    providing otherwise, one agency may not expend federal funds to restore
    another agency’s property. See, e.g., 2 Federal Appropriations Law at
    6-197 (3d ed. 2006) (“What happens when one federal agency damages
    the property of another agency? Under the so-called ‘interdepartmental
    waiver doctrine,’ the general rule is that funds available to the agency
    causing the damage may not be used to pay claims for damages by the
    agency whose property suffered the damage.”); Payment by National
    Weather Service to Bonneville Power Administration for Use of Micro-
    wave Radio Station Site, 
    71 Comp. Gen. 1
    , 2–3 (1991) (“National Weath-
    er Service”) (explaining that the doctrine ordinarily “prohibits a federal
    agency from paying for the use or repair of real property controlled by
    another federal agency”).
    The interdepartmental-waiver doctrine derives in significant part from
    the idea that government property does not belong to any single agency,
    but to the federal government as a whole. See 2 Federal Appropriations
    Law at 6-197. Because the government cannot bring a damages claim
    against itself, and because agencies are not free to redistribute the funds
    that Congress has appropriated, default rules are needed for allocating
    certain costs between agencies. The interdepartmental-waiver doctrine is
    the rule that generally governs the repair and restoration of loaned proper-
    ty. It provides that the agency with custody over the property should bear
    the costs of any losses arising from its use by other agencies. See National
    Weather Service, 71 Comp. Gen. at 2; Reimbursement by Navy to Federal
    Aviation Administration for Damage to Instrument Landing System, 
    65 Comp. Gen. 464
    , 466, 468 (1986); Departments and Establishments—
    Damage Claims—Reimbursement Prohibition, 
    41 Comp. Gen. 235
    , 237
    (1961); Public Property—Loans Between Departments—Repairs and
    Replacements, 
    10 Comp. Gen. 288
    , 289 (1930) (“Public Property”).
    Absent a contrary statute, the agency with custody of the property may
    not even charge rent to the agency using the property. See National
    Weather Service, 71 Comp. Gen. at 2 (citing prior Comptroller General
    decisions); Leases—Rent—Property Held by the Reconstruction Finance
    Corporation, 
    20 Comp. Gen. 699
    , 701 (1941) (“[T]he general rule is that
    5
    43 Op. O.L.C. __ (Feb. 22, 2019)
    payment of rent is unauthorized by one Government department or agency
    for premises under the administrative control of another department or
    agency.”). Some Comptroller General opinions have also reasoned that
    the agency with ultimate custody of the property should pay for repairs
    because those repairs are for its “future use and benefit.” Public Property,
    10 Comp. Gen. at 289; see also, e.g., Use of One Agency’s Real Property
    by Another—Liability for Damage, 
    59 Comp. Gen. 93
    , 95 (1979) (“Use of
    One Agency’s Real Property”).
    The doctrine predates the creation of the office of Comptroller General
    and was first articulated by the Executive Branch in 1899, when the
    Comptroller of the Treasury concluded that, after a vessel of the U.S.
    Navy was damaged by a ship of the Revenue-Cutter Service, the costs of
    repairs had to be paid from the Navy’s appropriations, reasoning that “the
    injured vessel is a vessel of the Navy” and “the appropriation for expens-
    es of the Revenue-Cutter Service, which is applicable to repairs of reve-
    nue vessels only, is not applicable to repairs of vessels of the Navy .”
    Damage to a Vessel of the Navy by Collision with a Revenue-Cutter
    Vessel, 6 Comp. Dec. 74, 74–75 (1899) (“Damage to a Vessel ”); see
    Attorney General—Opinions—Comptroller of the Treasury, 26 Op. Att’y
    Gen. 609, 610 (1908) (explaining that the Comptroller of the Treasury’s
    opinions were, by statute, generally binding within the Executive Branch).
    By 1945, the Comptroller General could state that it had “been held
    repeatedly that [a department’s or agency’s] funds are not available for
    payment of claims for damages to the property of other Government
    departments or agencies.” Government Corporation Vessels Damaged by
    Naval Vessels—Appropriation Availability for Payment of Damage
    Claims, 
    25 Comp. Gen. 49
    , 54 (1945). And in 1952, the Comptroller
    General characterized the doctrine as “so firmly embedded in the substan-
    tive law of the United States as to require specific statutory authority to
    overcome the rule.” National Forest Lands—Interagency Use—Liability
    for Damages, Restoration, Etc., 
    32 Comp. Gen. 179
    , 180 (1952) (“Na-
    tional Forest Lands”).2
    2 As we have said before, “the opinions of the Comptroller General do not bind the
    Executive Branch, but they may provide helpful guidance on appropriations matters and
    related questions.” Applicability of the Miscellaneous Receipts Act to an Arbitral Award
    of Legal Costs, 42 Op. O.L.C. __, at *3 n.2 (Mar. 6, 2018). That is especially so when, as
    6
    Paying for Removing Structures at the Treasure Lake Civilian Conservation Center
    Because the interdepartmental-waiver doctrine reflects a background
    principle of appropriations law, Congress may override it and has done so
    in a number of instances. Most significantly, in the Economy Act of 1932,
    Congress authorized an agency to “place an order with . . . another agency
    for goods or services” and thereby impose conditions on the loan or use of
    property. 31 U.S.C. § 1535. Shortly before the Economy Act, the Comp-
    troller General had concluded that one agency could not pay to restore
    another agency’s property even when such restoration was provided for in
    an agreement between the agencies. See, e.g., Public Property, 10 Comp.
    Gen. at 288 (holding that the interdepartmental-waiver doctrine applied
    even though the loan at issue was made “with the understanding that the
    articles were to be returned in good condition” and that the loaning agen-
    cy “would be reimbursed for the cost of [restoring] the property”). Now,
    however, the Economy Act “‘provide[s] the specific legislative authority
    stated by the Comptroller General to be necessary by authorizing the
    performance of work or services or furnishing of materials by one de-
    partment or establishment to another without any limitation.’” Jack
    Brooks, House of Representatives, B-197686, 
    1980 WL 14507
    , at *2
    (Comp. Gen. Dec. 18, 1980) (quoting Interdepartmental Work: Hearings
    on H.R. 10199 Before the H. Comm. on Expenditures in the Executive
    Departments, 71st Cong. 4 (Apr. 10, 1930)); see 3 Federal Appropria-
    tions Law at 12-22 (3d ed. 2008) (similar). If agencies satisfy the Econo-
    my Act’s criteria for interagency agreements, then they may contract
    around the doctrine. 3
    explained below, Congress has effectively ratified the Comptroller General’s long -
    established default rule by specifically overriding it in some, but not all, instances.
    3 See, e.g., Department of the Air Force—Reimbursement of Industrial Fund Agency
    for Damage to Vehicle, 
    65 Comp. Gen. 910
    , 911 (1986) (noting that a “major exception
    [to the interdepartmental-waiver doctrine] is where reimbursement for damages has been
    provided for in an agreement under the Economy Act”); Finance and Accounting Officer,
    Department of the Army, B-146588, 
    1961 WL 2188
    , at *1 (Comp. Gen. Aug. 23, 1961)
    (concluding that the Army and the Air Force had entered into a valid Economy Act
    agreement under which the Army could reimburse the Air Force for damage to borrowed
    planes); Public Property—Loans Between Departments, Etc.—Liability for Repairs, 
    30 Comp. Gen. 295
    , 296–97 (1951) (finding that the Economy Act modified the result in the
    1930 Public Property opinion, such that the Bureau of Land Management could execute
    an agreement requiring that its boat be returned in a condition as good as when it was
    loaned).
    7
    43 Op. O.L.C. __ (Feb. 22, 2019)
    In addition to the Economy Act, Congress has enacted other targeted
    exceptions to the doctrine’s default rule. For example, when an agency
    has received “an appropriation specifically for the purpose of removing
    improvements on land withdrawn for its use,” that is understood as
    supplying “the statutory authority . . . required” to displace the interde-
    partmental-waiver doctrine. Interdepartmental Waiver Doctrine—With-
    drawn Lands, 
    60 Comp. Gen. 406
    , 407–08 (1981) (“Withdrawn Lands”).
    Thus, in 1984, Congress specifically authorized the military departments
    to “remove improvements and take any other action necessary . . . to
    restore land used” under a “permit from another military department or
    Federal agency,” when the permit requires restoration. 10 U.S.C.
    § 2691(a). And, in 2017, Congress amended that section to allow the
    Secretary of Defense to “restore” land under the administration of a
    different federal agency when the land is “damaged as a result of a mishap
    involving a vessel, aircraft, or vehicle of the Department of Defense.” Id.
    § 2691(e)(1) (Supp. V 2017). As the conference report explained, the
    amendment as it was enacted supplied the same authority that the Senate
    bill had expressly entitled an “[e]xception to the interdepartmental waiver
    doctrine for cleanup of vehicle crashes.” H.R. Rep. No. 115-404, at 944
    (2017) (Conf. Rep.). Congress has also given the General Services Ad-
    ministration (“GSA”) the authority to recover from other agencies the
    costs of operating and maintaining a motor pool, including “estimated
    replacement cost.” 40 U.S.C. § 605(b)(2). Thus, when a vehicle in GSA’s
    motor pool is damaged as a result of a driver’s “misconduct or improper
    operation,” GSA is permitted to “charg[e] such losses directly to the
    agency whose driver is responsible for the loss.” Interagency Property
    Damage Liability, 
    59 Comp. Gen. 515
    , 517 (1980). 4
    4 The Comptroller General has also recognized an exception to the interdepartmental-
    waiver doctrine where an agency’s activities are supported by a revolving fund, a mecha-
    nism that authorizes an agency to retain receipts and deposit them into the fund to finance
    the fund’s operations. See National Weather Service, 71 Comp. Gen. at 3 (“[W]e have
    recognized exceptions to the interdepartmental waiver doctrine where Congress has, by
    statute, expressly required an interagency activity to operate on a self-sustaining basis by
    recovering all costs from using agencies.”); Loan of Equipment Purchased from the
    Reclamation Fund, 
    3 Comp. Gen. 74
    , 74–75 (1923) (explaining that the interdepart-
    mental-waiver “rule is predicated on appropriations not reimbursable,” so another agen-
    cy’s “use of equipment purchased [by an agency with a reimbursable fund] is on a some-
    8
    Paying for Removing Structures at the Treasure Lake Civilian Conservation Center
    The Executive Branch has similarly applied the interdepartmental -
    waiver doctrine since at least the Comptroller of the Treasury’s 1899
    decision in Damage to a Vessel. See 6 Comp. Dec. at 74–75; see also
    Replacing Property Borrowed from Another Department, 10 Comp. Dec.
    222, 224–25 (1903); Ownership of Public Property, 22 Comp. Dec. 390,
    390 (1916). Executive agencies have considered and applied the doctrine
    when promulgating regulations, guidance, and legal opinions. See 32
    C.F.R. § 536.27(g) (subsection of Department of the Army regulations
    about claims against the United States, stating that “[n]either the U.S.
    government nor any of its instrumentalities are proper claimants due to
    the interdepartmental waiver rule”); U.S. Dep’t of Energy, DOE 4300.1C,
    Real Property Management (June 28, 1992) (agency guidance noting that
    “[t]he Interdepartmental Waiver Doctrine should be considered whenever
    there is a possibility of outgranting property to other Federal agencies”);
    Office of General Counsel, Immigration & Naturalization Service, U.S.
    Dep’t of Justice, Missing GSA Painting, Op. No. 93-29 (May 5, 1993)
    (describing the doctrine as “the substantive law of the United States”).
    The interdepartmental-waiver doctrine thus establishes the general default
    rule for allocating the costs of repairs among departments and agencies.
    B.
    Applying the foregoing principles, we conclude that the interdepart-
    mental-waiver doctrine prohibits Labor from paying for the removal of
    the Treasure Lake structures. Interior has custody over the Wichita
    Mountains Wildlife Refuge, where the Treasure Lake structures are
    located. The Comptroller General has previously (and, in our view,
    correctly) concluded that other conservation sites are subject to the
    interdepartmental-waiver doctrine, as is governmental property generally.
    See Public Lands—Interagency Loans, Transfers, Etc.—Damages, Resto-
    ration, Etc.—Authority, 
    44 Comp. Gen. 693
    , 695 (1965) (“Public Lands”)
    (opining that the Army may not reimburse the National Park Service for
    road repairs after military exercises because “an executive department
    may not be reimbursed for the use or depreciation of real property loaned,
    used or damaged by another department”); National Forest Lands, 32
    what different basis, the equipment being an asset which should not be permitted to be
    depreciated from use on other than objects for which the fund was created”).
    9
    43 Op. O.L.C. __ (Feb. 22, 2019)
    Comp. Gen. at 180 (rejecting the argument that the interdepartmental-
    waiver doctrine “should not apply to national forest lands since such lands
    are analogous to property held in trust”). This result comports with the
    notion that the interdepartmental-waiver doctrine allocates losses to the
    agency that will benefit from the future use of the repaired property.
    Because Labor is no longer using the Treasure Lake property, Labor will
    receive no future benefit from removing the structures. To the contrary,
    the benefits from restoration will flow to Interior, which seeks the struc-
    tures’ removal to advance its statutory mission of managing a wildlife
    refuge. See Withdrawn Lands, 60 Comp. Gen. at 408 (noting that a resto-
    ration benefits the lending agency when the agency “would use the prop-
    erty upon its return to carry out agency functions”). Absent a contrary
    statute, the interdepartmental-waiver doctrine applies and makes Interior
    responsible for the costs of restoration.
    We do not believe that any statute displaces the general rule here. La-
    bor’s Job Corps appropriations have not expressly provided for the re-
    moval of structures at Treasure Lake. Nor have they otherwise authorized
    Labor, more generally, to pay damages for its use of other agencies’
    lands. See, e.g., Labor FY 2019 Appropriations, 2018 U.S.C.C.A.N. (132
    Stat.) at 3050; see also Withdrawn Lands, 60 Comp. Gen. at 407–408
    (noting that when an agency has an “appropriation specifically for the
    purpose of removing improvements on land withdrawn for its use, this
    constitutes the statutory authority . . . required” to overcome the interde-
    partmental-waiver doctrine); Public Lands, 44 Comp. Gen. at 693, 695
    (concluding that the Army could not reimburse Interior for property
    damage, even though Army appropriations contained no limitations on
    such expenditures). And Interior has no authorization to charge other
    agencies for costs arising from their use of wildlife refuges. See Consoli-
    dated Appropriations Act, 2019, Pub. L. No. 116-6, div. E, tit. I (making
    appropriations for Interior, including the Fish and Wildlife Service, but
    containing no such authority); Consolidated Appropriations Act, 2017,
    131 Stat. at 436–68 (same); see also National Forest Lands, 32 Comp.
    Gen. at 180–81 (concluding that the Secretary of Agriculture’s statutory
    authority to protect and preserve national forests does not override the
    interdepartmental-waiver doctrine).5
    5 We thus reject the premise of Labor’s alternative argument that Interior’s purported-
    ly-more-specific appropriation governs over what Labor describes as more-general
    10
    Paying for Removing Structures at the Treasure Lake Civilian Conservation Center
    Furthermore, no other exception to the interdepartmental-waiver doc-
    trine applies. Labor and Interior did not enter into any agreement under
    the Economy Act or similar statutory authority under which Labor “as-
    sume[d] responsibility for the removal of the structures or the restoration
    of the wildlife refuge following the closure of the Center.” Labor Reply
    Letter at 2.6 And Interior’s relevant appropriations are annual appropria-
    tions, not revolving funds. See supra note 4.
    C.
    In reaching this conclusion, we have considered other points that Inte-
    rior contends would, when taken in combination, support having Labor
    pay to restore the Treasure Lake property.
    First, Interior argues that the interdepartmental-waiver doctrine should
    be limited to situations where an agency unforeseeably or accidentally
    damages another agency’s property. In its view, where an agency’s activi-
    ties foreseeably damage another agency’s property, the costs of restora-
    tion are sufficiently predictable that they should be borne by the agency
    responsible for the damage. See Interior Letter at 12–15. As Interior
    acknowledges, however, several Comptroller General opinions go the
    other way, see id. at 11, and we believe that those decisions correctly
    interpret the doctrine.
    The Comptroller General’s long-standing view is that the interdepart-
    mental-waiver doctrine does not turn upon the cause of, or comparative
    fault for, the property damage. See, e.g., National Forest Lands, 32 Comp.
    Gen. at 180–81 (“The question is not how the damages were caused, but
    language in its Job Corps appropriation. See Labor Letter at 1–3. The dispositive question
    is not which agency’s appropriation contains more specific language, but whether Con-
    gress has overridden the interdepartmental-waiver doctrine. Even if Interior’s appropria-
    tion contained more-general language than Labor’s appropriation, it would be irrelevant
    unless Labor’s appropriation (or some other statute) specified with sufficient clarity that,
    notwithstanding the interdepartmental-waiver doctrine, Labor could bear the costs of
    removing the Treasure Lake structures.
    6 This opinion does not address whether an agreement concerning real property consti-
    tutes an agreement “for goods or services” under the Economy Act, 31 U.S.C. § 1535(a),
    or whether an agreement concerning services related to real property—such as the remov-
    al or alteration of facilities like those at Treasure Lake—could have been reached under
    the Economy Act or similar statutory authority.
    11
    43 Op. O.L.C. __ (Feb. 22, 2019)
    to which agency has the Congress delegated the responsibility for admin-
    istering and conserving the property and to which agency has it appropri-
    ated funds for such repair and replacements as may be necessary.”);
    Public Property, 10 Comp. Gen. at 289 (noting that the doctrine bars
    interagency reimbursement not only for property loss or damage, but also
    for property “use or depreciation”). That is also the Executive Branch’s
    long-standing view. See Damage to a Vessel, 6 Comp. Dec. at 75 (“The
    appropriation [of the custodial agency] . . . is applicable . . . without
    regard to the origin of the injury necessitating the repairs, whether arising
    from natural deterioration or wear and tear, or from an accident of any
    kind, whether by the fault of the officers of the [custodial agency] or
    others or otherwise.”). That view is consistent with the doctrine’s underly-
    ing premise: Regardless of whether one agency has damaged another
    agency’s property in a foreseeable or unforeseeable manner, the agency
    with custody of the property does not make a claim for damage because
    the property belongs to the government as a whole. Even if we were to
    distinguish between the individual agencies’ interests in this context, the
    same conclusion would follow, because the agency with custody of the
    property will be the one that reaps the benefits of removing the structures
    at Treasure Lake. See Public Property, 10 Comp. Gen. at 289.
    Second, Interior contends that the interdepartmental-waiver doctrine
    has generally been applied to personal property, and not to real property
    like the buildings and other permanent improvements at Treasure Lake.
    See Interior Letter at 9, 11, 15. Interior reads the Comptroller General’s
    1981 opinion in Withdrawn Lands as “appear[ing] to narrow” the doc-
    trine’s applicability in cases involving public lands. Id. at 11–12. We
    disagree with Interior’s attempt to extend that opinion’s reasoning to
    Treasure Lake. In Withdrawn Lands, the Comptroller General concluded
    that the interdepartmental-waiver doctrine should not apply to public
    lands managed by the Bureau of Land Management because those lands
    were held in anticipation of future assignment. See 60 Comp. Gen. at
    408–09. The opinion explained that the Bureau “does not benefit, in the
    sense referred to in the [Comptroller General’s previous decisions], from
    restoration by another agency” of its lands. Id. at 408. Significantly, the
    Comptroller General contrasted the Bureau’s public lands with National
    Forest lands administered by the Forest Service, reasoning that “restora-
    tion of property within the Forest’s boundaries” would “clearly benefit[]
    12
    Paying for Removing Structures at the Treasure Lake Civilian Conservation Center
    the Forest Service,” rather than the paying agency. Id. at 409. That same
    distinction would also apply to repairs within wildlife refuges, which are
    administered by Interior in a similar fashion, for long-term preservation
    and public benefit. Compare, e.g., 16 U.S.C. § 742a (giving the Fish and
    Wildlife Service the statutory goal of “maintaining and increasing the
    public opportunities for recreational use of our fish and wildlife re-
    sources”), with id. § 1609(a) (giving the National Forest System and
    Forest Service the statutory mission of maintaining a system of forests
    “dedicated to the long-term benefit for present and future generations”).
    Furthermore, as Interior acknowledges, see Interior Letter at 11 & n.40,
    a number of other Comptroller General opinions, before and after 1981,
    have applied the interdepartmental-waiver doctrine to real property. See,
    e.g., National Weather Service, 71 Comp. Gen. at 2 (reaffirming that the
    “interdepartmental waiver doctrine prohibits a federal agency from paying
    for the use or repair of real property controlled by another federal agen-
    cy”); Use of One Agency’s Real Property, 59 Comp. Gen. at 93–95 (ap-
    plying doctrine to Army’s damage to national forest lands); Public Lands,
    44 Comp. Gen. at 695 (applying doctrine to Army’s damage to lands in
    national recreation area); National Forest Lands, 32 Comp. Gen. at 179–
    81 (applying doctrine to Army’s damage to national forest lands).
    Finally, we disagree with Interior’s contention that the necessary-
    expense doctrine would authorize Labor to pay for removing the Treasure
    Lake structures. See Interior Letter at 9. This Office has explained that the
    Comptroller General’s necessary-expense doctrine tracks our interpreta-
    tion of the Purpose Act, 31 U.S.C. § 1301(a). See State and Local Deputa-
    tion of Federal Law Enforcement Officers During Stafford Act Deploy-
    ments, 
    36 Op. O.L.C. 77
    , 87–88 (2012). The basic principle is that a
    federal agency may use its appropriations for purposes that Congress has
    not expressly specified, so long as the “expenditure bears a logical rela-
    tionship to the objectives of the general appropriation[] and will make a
    direct contribution to the agency’s mission.” 
    Id.
     (internal quotation marks
    omitted). But treating each agency as having an implicit authorization to
    use its funds to pay other agencies would render the interdepartmental-
    waiver doctrine superfluous. If agencies were already authorized to pay
    for the repair or restoration of other agencies’ property whenever doing so
    bore some relation to the objects of a general appropriation, then there
    would never be a need to determine whether a specific appropriation
    13
    43 Op. O.L.C. __ (Feb. 22, 2019)
    authorized an agency using another agency’s property to bear the costs of
    that use. Nor would there be any need for the Economy Act; agencies
    would already be entitled to make such agreements whenever they are
    “reasonably necessary” to achieve the goals of an appropriation. We
    therefore think that a more-specific authorization is required to override
    the interdepartmental-waiver doctrine’s default rule.
    III.
    Interior is the custodian of the land at Treasure Lake. Accordingly, we
    conclude that, under the interdepartmental-waiver doctrine, Labor cannot
    pay to remove the structures at Treasure Lake, and, further, that no statu-
    tory authority has displaced that doctrine’s applicability in this instance.
    CURTIS E. GANNON
    Principal Deputy Assistant Attorney General
    Office of Legal Counsel
    14
    

Document Info

Filed Date: 2/22/2019

Precedential Status: Precedential

Modified Date: 1/14/2022