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B-185874.2 1 (1979-11-28)

handle is hein.gao/gaobabjpu0001 and id is 1 raw text is: Z4T> COMPTROLLER GENERAL OF THE UNITED STATES WASHINGTON. D.C. 20548 B-185874.2 November 28, 1979 Herman J. Obert, Esq. Gibbons, Eustace & Obert 1442-43-44 The Fidelity Building 123 South Broad Street Philadelphia, Pennsylvania 19109 Dear Mr. Obert: We refer to your request on behalf of Sovereign Construction Company, Ltd. (Sovereign) that we review certain matters involving the olicitation of bids by t4e City of Philadelphia-for th e general construction and mechanical work for the Northeast Water Pollution Control Plant to be funded by a 75-percent construction grant from the Environmental Protection Agency (EPA). You request that our Office in effect bar the grant of the Federal funds to the City unless award is made to Sovereign in accordance with a December 6, 1976, determination by the EPA Regional Administrator. In its August 6, 1979, letter to our Office EPA opposed our review of the matter on a number of juris- dictional bases, including the extent to which * * * /the General Accounting Office_/ may be used to declare essentially third party rights under an EPA construc- tion grant, GAO's jurisdiction with respect to the review of grant awards in general, and the effect on our involvement of various recently completed court actions on the matter. We find it unnecessary to address EPA's arguments. The record indicates that Sovereign has clearly stated that it would not accept a contract award under the original solicitation at the 1975 bid price, but rather that its bid would have to be subject to equitable adjustment for the increased costs of construction that , 4oOPL ?2CP

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