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B-96983 1 (1979-09-05)

handle is hein.gao/gaobabjgs0001 and id is 1 raw text is: 11324 COMPTROLLER GENERAL OF THE UNITED STATES WASHINGTON. D.C. 20548 r? 1ye~~ B-96983 September 5, 1979 The Honorable William Pro.lWire Chairman, Committee on BanK , ., Housing, and Urban Affairs United States Senate . to Dear Mr. Chairman: IC 0 wme OAS 0 A You have requested rther comments concerning the impact of the waiver of procurement laws provi ed for in subsection 305(c) S. 9321 (96th Congress). This subsection provides that, wig certain specified exceptions, purchases, commitments to purchase and resales under section 305 of the Act may be made without regard to the limitations of existing law, regarding the procurement of goods or services by the Federal Government * * *. As we advised you previously, the debate in the House indicates there is no intention to waive laws relating to labor protection, small business set-asides, the environment, this Office's audit authority, and the prohibition against cost-plus- a-percentage-of-cost contracts. See 125 Cong. Rec. H5136 (daily ed., June 26, 1979). However, as our August 1, 1979 letter indicated, the language of the waiver is so broad that it can be interpreted as applying to the laws mentioned above as well as to the Federal Property and Administrative Services Act, 41 U.S.C. §5 251-260, and the Armed Services Procurement Act, 10 U.S.C. §§ 2301-2314. Such broad waiver language has been used before. For example, language similar to that in subsection 305(c) already appears in several sections of Title III of the Defense Production Act of 1950, as amended, 50 U.S.C. App. §§ 2091-2094. In 50 U.S.C. App. § 2091(a), the President is authorized without regard to provisions of law relating to the making, performance, amendment, or modification of contracts to guarantee public or private financing institutions against loss of principal or interest on any loan, discount or advance on any related commitment. Subject to certain exceptions, section 2092 authorizes the President to make provision for loans to private %-6709 i go99LI

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