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B-124595-O.M. 1 (1955-08-26)

handle is hein.gao/gaobadaib0001 and id is 1 raw text is: 


                      UNITED STATES GENERAL ACCOUNTING OFFICE
                                  WASHINGTON  25


DIVISION OF AUDITS                                            7


        The Comptroller General

              Cur audit of the National Duresa of Standards has disclosed certain
         expeditures for improvemnts  to leased premises which do not appear to
         have been authorised by U.   This matter is herewith submitted for your
         consideration ant advice.

             The National Bureau of Standards, in fArtherance of its authorised
        radio propagation  a   standards research activities, estabUiabes sad
        aintains  anwasros radio field stations throughoat the United States wa
        overseas.  The technical nature of this research ottivitr requires the
        establiabsent of these field stations in specifi  locations, which oftpn
        aecessitates leasing of prdses.  from private parties.

             One  such tield station gas established at Cheyene Aountain,
         Colorado Springs, Colorado. The Sureau entered into an agreesant with
         aroadaoor Hotel, Inc., on July 1, 1950, for leas of a tract of ld
         identified as *base* ant 'smmet' on CbqAAne  Mountain at an annual rental
         of  t3,000. The lease (copy attashed as flbibit A) contains the provisions
         that the Goveraent ressrves the right to ream   any additions sat strue
         turea placed on the land by the Govenmant, and that the Governants  if
         required by the lessor, ebal restore the praitse  to the sam  condition
         as existed at the time of the agreemat.

             The iBureau has  petned a signifiosa  amount of money for iprovements
         to this lAnd. A description of thes  expditures   is contained in our
         letter of recuber 30, 1995 (azbibtt B), requesting an explanation of the
         apparent violations. The Bureau's reply to datat ?eluary  28, 1955
         (Exhibit G).

             The iureau'  repay does net appear to be copletely  satisfactory.
         iltheat attempting to evaluate the inte* of the 3reau  in choosing per-
         manet-type constrastion, as viau to point out that the major portion of
         the construction activity was perform& froe 1950 to 1952, under a lease
         containing a opties for renewal only to Jun  30, 195].  .A later lease
         dated Ay 1p 1993, contained an opties for renewal to June 30, 1958.  The
         Jaream states that the decision to erect buildings with a degree of
         pemastac*t was dictated by the protection needed for the anticipated
         period of the program.

             The argument that Public Lar 390 (63 Stat. 907) and the 1950 Appropria.
         tion Act (6k Stat. 371) provide authorit4 for iAprowment to private prop-
         erty does not appear valid. The cited statutes do nt  appear to contain
         any 3pecific authorisaidon for constraction of permanent buildings on rented

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