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May Human Resources Advisor Volume 2, Issue 5

Living Quarters Allowance Reconciliation (LQAR)

The Department of State Standardized Regulations only requires employees to submit LQA reconciliations within 45 days of completion of their first year of occupancy in new, economy quarters. Therefore, it is important that employees in their first year in economy quarters keep all their utility bills, and/or receipts. No further reconciliations are required for those same quarters unless requested by the employee or management. The reconciliation process is required to reconcile the amounts paid to an employee versus the amounts the employee actually expended for allowable utilities. If an employee's actual expenses exceeded the amounts paid, the employee will be paid the difference up to the maximum allowable. If the employee's actual expenses are less than the amount paid, the employee will be indebted for that overpayment. Additionally, once the reconciliation is completed, the employee's LQA authorization will be adjusted to reflect actual expenses.