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B-187278 1 (1977-03-28)

handle is hein.gao/gaobaddwy0001 and id is 1 raw text is: 






                    o  -THE COMP1TOLLER GENERAL
DECISION . ZF .  THE UNITN STATES
                            WASHINGTON. D. C. 20048


FILE:  B-187278


DATE:   Ma4Ch 28, 1977


MATTER OF: Army Corps of Engineers'   Continuing Contracts


DIGEST:


1.  33 U.S.C. § 521, which provides that public
    works projects adopted by Congress may be
    prosecuted by direct appropriations, con-
    tinuing contracts, or both, permits Corps
    of Engineers to obligate full price of
    continuing contracts in advance of appro-
    priations where projects have been spe-
    cifically authorized by Congress. There-
    fore, Corps may modify standard Funds
    Available for Payments clause of continuing
    contract which now limits Government's
    obligation to amounts actually appropriated
    from time to time. 2 Comp. Gen. 477 (1923)
    overruled.

2.  Recognition that under 33 U.S.C. § 621
    Corps of Engineers may obligate full amount
    of continuing contract price for authorized
    public worts projects iLL advance of appro-
    priations required change in current budgetary
    procedures, under which budget authority is
    presented only as appropriations are made for
    yearly contract payments, since new theory
    of continuing contract obligations alters
    their budget authority status for purposes
    of Pub. L. No. 93-344. Corps should consult
    with cognizant congressional committees in
    developing revised budgetary procedures.


     The Chief of Engineers, Department of the Army, has requested
our opinion as to the legality of proposed revisions to the Corps
of Engineers' standard Funds Available for Payments clause used
in continuing c3ntracts for the prosecution of public works projects.

     The continuing contracts here involved are authorized by
section 10 of the River and Harbor Act of 1922, 33 U.S.C. § 621
(1970), which provides as follows:


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