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B-190154 1 (1977-10-05)

handle is hein.gao/gaobadfee0001 and id is 1 raw text is: The COMPTROLLER GENERA A c r OlCISION flP THE UNJTEC a*TA ES q- WABHINGT'ON. D.C. 2054a FILE: 3-190154 r4'TE: October j, 1977 MATTER OF: R. J. Bealey Construction Corporation DIGEST: Claim for bid preparation expenses ralating to canr.c.- lation of solicitaticn mandated by lack of fiunds is denied since, at most, mere negligence on part of Government is involved which does not support recovery of expenses absent showink that Government acted arbitrarily toward bidder:-c-laimant. Request that award be made notwithstand- ing lack of funds is also denied. A claim for bid preparation coats ha been receited fron R. J. Beasley Construction Ccrp .ation beccuse of the Departvent oi the Army's decision to cancel invitati'n for bida (IFB) DACA65-77-B-0041 after bids were openedlunder the solicitation. The IFB, under which Bearley had uubmitted a bid, was canceled when the Department discover.4 that there were insufficient funds available to award a contraut. Eid preparation costs will be allowed where the Government acted arbitrarilf1'&v capricidusly with respect to a claimant's bid or proposal. Austim-Campiell :oimpany, B-i88659, August 9, 1977, 7R-2 CPD 99. Mere neglijence, however, by the procuring activity ik gencrally not sufficient to support a claim for bid preparation costs. Aust.i-Csmpbell, apra. Assuming, witibut deciding, that the Governr.:aht was neg2igent isz not realizing, prior to issuing the IFD, that there were insufficient funds to awar4-the contract, this fact does not mean that the Governmpenc acted arbitrarily. Consequently, the claim is denied. Alternatively, the bidder urges that award should be madc under the IFB notwithstaiding the lack of funds. Statutory limitations prevent awards of contracts, however, when funds are not available. TIMCO, B- 186177, Sertsiibb. 4. 1976, 76-2 CPD 242. Consequently, the protest is denied. Deputy Comr a r of the United States - 1 -

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