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B-179153 1 (1973-10-10)

handle is hein.gao/gaobaadem0001 and id is 1 raw text is: 99 COMPTROULER GENERAL OF TIe UNITED STATES WASHINGTON,fD.C, 0543 1.179153 Otober 10@ 1973 KcDonough, Schnsider Marcus and Cobia . 866 Third Avenue- Now York, New York 10022 Attention L. eRichard tiarcus, Isquire Qentlanens This is in response to your Letter of August 15, 1973, end prior correspowdence, protesting on bohalf of Public Zmprovorento, Incurporsted (P0I), aainst any award of a subcontract on Project 1'o, 72, tetro Iiorth flesidential Project# uponsored by thu 11ev York State Urban Dvcloprent Corporation (UP0), which is a goverumentat agency of the state of flow York.o The t.,partrent of Housing and Urban Developr ent (110) hat approved nd reoervad contract authority on the ie.tro orth projecot for mortfaS interest reduction payments pursuant to section 236(b) of the lIational Housing Atl, 12 U.S.C. 175zlv and for rent aupplcrent payments pursuant to section 101 of the Housing and Urban Dvalopeut Act of 1965, 12 U.s.c. 1701.e Quest Construction Corporation, the tietro North project's gemoral contractor, proposed to award the subcont'tct for electrical work to PMe H1owever, UDC did not. approve this proposed awsrd, since P1I was not a vinority-ovned or -controlled firms UD diretted that award be made to a qualified minority-or,-ed firm, The record shovs that the subcontract Iv' nuestton does not directly require the ue o federally appropriated fun., 111's involvcaaut is limited bete to a reservatiou of funds for mortgage interest roduo.tion payments and for rent supplement payments. These programs are dcsizued to reduce the rental payments by lower incosm.cupAnts of the project. In the absence of a provision in the authorizing stotuto or in the terms of the assistance agree=ent, there Ls u legal bacis for either this Office or HUD to question UIC's selection of a subcontractor. In this A CJIaG ction, it seems that the only related conctment obtained ftom UDO thatthe standard equal employmeut oppotunity clause (41 CFA 60) would /(il be included in each contract and subcontract .ar the onstructiou iiork.

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