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B-210833 1 (1984-11-09)

handle is hein.gao/gaobadlzv0001 and id is 1 raw text is: rrJ THE COMPTROLLER OENERAL OIlSlON OP THE UNITED STATES WASHINGTON. 0.C. 20548 FILE: B-210833 DATE: November 9, 1984 MATTER OF: Request for Advance Decision from Assistant Comptroller of the Army for Finance and Accounting--Reconsideration DIGEST: State may be reimbursed for payment to contractor pursuant to National Guard agreement in settlement of claim where state reasonably concludes that settlement was justified. Prior decision is modified. The Army requests reconsideration of our decision Request for Advance Decision from Assistant Comptroller of the Army for Finance and Accounting, B-210833, Aug. 4, 1983, 83-2 C.P.D. 170. In that decision, we held that a voucher in the amount of $7,350, covering the amount the state of Rhode Island claimed from the federal government as reim- bursement for termination of a snow removal contract at the Air National Guard (ANG) Base, Quonset State Airport, North Kingstown, Rhode Island, was not for payment. Under Rhode Island ANG Operations and Maintenance (O&M) Agreement No. DAHA-37-82-H-0003, between the National Guard Bureau and the state of Rhode Island, the federal government was authorized to reimburse the state of Rhode Island for 75 percent of the expenses incurred in rendering necessary ser- vices and maintenance of certain ANG facilities, including the above facility. Section 7 of the agreement authorized the state to contract for the above services, subject to approval by the United States Property and Fiscal Office (USPFO). Pursuant to this provision, the state of Rhode Island contracted with the Salo Construction Co. (Salo) to have the snow removed. This contract was approved by the USPFO as evidenced by payment to Salo for snow removal in December 1981, made pursuant to sections 3 and 7 of the agreement. These two sections provide that payment under section 3 of the agreement constitutes approval of the pay- ment as an authorized charge against the agreement and, in essence, approval of the agreement. Our decision held that the contractor was only entitled to be paid for the work actually performed, valued at $1,670.75. 0305 -

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