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B-182977 1 (1975-06-30)

handle is hein.gao/gaobadcgq0001 and id is 1 raw text is: ,0j AER C & THE COMPTROLLER GENERAL DECISI Il.. OF THE UNITED STATES WASHINGTON. D.C. 20548 FILE: B-182977 DATE: June 30, 1975 9 33 MATTER OF: Anderson & Middleton Logging Company DIGEST: Where high bid on timber sale was rejected because award would cause bidder to exceed export and substitution quota for calendar year 1974, award, withheld during pendency of protest, can be made in 1975 since no quota prohibition presently exists in 1975. The instant preaward protest involves Dry County Timber Sale in the Olympic National Forest. Anderson & Middleton Logging Com- pany (A&M) was the high bidder at the sale. However, its bid was rejected since the Forest Service believed that an award to A&M would be in violation of the timber export and substitution restriction contained in 36 C.F.R. § 221.25 (1974). 36 C.F.R. § 221.25 states that: Unprocessed timber * * * purchased * * * from the National Forest System * * * may not be exported from the United States nor used as a substitute for timber from private lands exported by the purchaser * * *. * * * substitution is the purchase of timber from National Forest Systems lands to be used as replacement for timber exported from private lands. Such replacement occurs when with respect to * * * the purchaser continues to export and increases his purchase of National Forest timber * * * not to exceed 110 percent of the average annual volume purchased or exported in calendar years 1971, 1972, and 1973. Thus, to prevent replacement and substitution, the Forest Service will not sell to a company which is continuing to export where the company's purchase of the sale in question would cause the 110 percent of the 1971, 1972, 1973 average volume limitation to be exceeded. - 1 -

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