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B-169682 1 (1974-02-22)

handle is hein.gao/gaobaaeme0001 and id is 1 raw text is: TheHooreased Guiler the G n House S Represetat This letter -f lee en respontoyuSeemr24193 investigate~ ~~ chargermadeby th Pretssioal repetSevie .: - 46o' wch' COMPTROLLER GENERAL OF THE UNITE6 'Zianchy OAS WASHINGTON. D.C. 20a548ar offices of three B-169682 FEB 2 2 1914 The Honorable Gilbert Gude O 2 House of Representatives kDear Mr. Gude: This letter is in response to your September 24, 1973, request and subsequent discussions with your staff that we investigate charges made by the Professional Carpet Service, Washington, D.C., against the headquarters offices of three Federal agencies. The agencies were the Interstate Commerce Commission, the Department of Commerce, and the Veterans Administration. Professional Carpet Service alleged that, during the period they held the General Services Administra- tion (GSA) Federal Supply Schedule contract for car-pet in-, si4llaiomsermvjxps, these agencies failed to follow estab- lished procuremnent. _and contract administration procedrs. As agreed with your office, we concentrated our efforts on two important areas. These were (1) whether these agen- cies violated Federal procurement regulations by placing orders with firms other than Professional Carpet Service at the time these firms were not under GSA contract and (2) whether these agencies violated the GSA contract when placing orders with Professional Carpet Service. The Federal Property and Administrative Services Act of 1949 authorized GSA to contract for services from private firms and to issue regulations requiring Federal agencies in geographical areas covered by the contracts to purchase needed contracted services from the firms under GSA contract. GSA issued Federal procurement regulations making GSA con- tracts mandatory on executive agencies with certain excep- tions. GSA contracts need not be used if (1) an agency determines that there is an urgent requirement where delivery dates of ordering activities are shorter than the delivery times specified in the contracts, (2) a public urgency is declared, (3) the contractor is declared in default, or (4) GSA grants the agency a waiver from the contract. * 7V,- __ ___

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