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B-191531 1 (1978-04-25)

handle is hein.gao/gaobadfyw0001 and id is 1 raw text is: 



                                                     a     J.
                                THE COMPTROLLEN   UENENAL
        DECISIOIN    . Ujd,- . oF  THE   UNITED    STATUE
                               WASHINGTON, 0.0. 50543



        FILE: 3-191531              DATE: April 25, 1978

        MATTER  OF: Solar Electrical Construction Corporation

        DIGEST:
               Request for review of procurement by grantee
               involving 10-percent minority business enterprise
               provision of Public Wbks Employment Act of 1977,
               which is subject of conflicting U.S. District
               Court decisions, will not be considered until
               litigation is finally resolved.

               Solar Electrical Construction Corporation
          (Solar) has requested that we review the award of
          a contract to E.G. Sawyer Company by the City of
          Boston, Massachusetts, under a grant from the Economic
          Developmint Adminihtration, Department of Commerce.
          Solar believes that thE award may have violate' the
          10-perce't minority business enterprise (MBE)
          participstion requirement established by section 103
          of the Public Works Employment Act of 1977, Public
          Law 95-28, enacted May 13, 1977, 91 Stat. 117.

               The KBE provision of the act has been the
          subject of conflicting United States District Court
          decisions. See Associated Gheral.Contractors of
          California v. Secretary of.Commerce, 441 F. Supp.
          955 (C.D. .Ca1., 1977) and ionstructors Association
          of Western Pennsylvania v. Kreps, 441 F. Supp. 956
          (W.D. Pa., 1977). The California decision has been
          appealed to the United States Supreme Court.

              inlight of these developments, our Office
         has taken the position that we will rot review
         complaints concerning compliancc with the MBE
         provision until the litigation s.finally resolved.
         See Campanella Corporation, 8-190601, December 27,
         1977, 77-2 CPD 507; Just-Tran Construction, Inc.,
         B-191101, January 31, 1978, 78-1 CPD 88; and
         Capital-York Constructnia Corp. and J.N. Futia Co.,
         inc., B-190647, February 1, 1978, 78-1 CPD 96.





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