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B-191050 1 (1978-02-10)

handle is hein.gao/gaobadfrj0001 and id is 1 raw text is: 






                       *  . tTHE  COMPTRCLLISq GENERAL
      DECISION             .   P THE   UNIle      *TATIa

                      - IT Z   VA C H IN G T O N , . C .  2 0 5 4 8


      FILE:   3-191050              DATE:  February 10, 1978

      MATTER  OF:     William D. Freeman, M.D.

      OIGEST:

         Agency's decision not to fund proposal submitte  in
         response-to Program Opportunity Notice (PON) be-
         cause project was regarded as operational, even
         though PON misled offeror into believing that apera-
         tional projects were eligible for funding, was rot
         arbitrary or made in bai faith so as to entitle
         offeror to proposal preparation costs.  Moreover,
         such costs may be recov'&red only where it is shown
         that arbitra 'y Governmeint action precluded offeror
         from award to which it was otherwise entitled, and-
         under terms of PON no offeror could claim entitlement
         to award.

         We have been requested by an authorized certifying
  officer, Department of Energy (DOE), to render a decision
  as  to ,whether a claim for reimbursement of proposal prepara-
  tion costs from William D. Freeman, M.D., may be paid.  The
  claim  is for $2,000 for expenses allegedly incurred in the
  preparation of technical and cost proposals in response to
  a Program Opportunity tbtice (PON) issued 'by the Energy
  Research and Development Administration (ERDA), now DOE.

         The PON.offered various f rmsof  financial assistance
   (contracts, grants, and cooperative agreements) to those
   who would include solar heating and cooling systems for
   demonstration purposec in their commercial facilities. The
   PON contained the following stauement on page one:

         The poject  proposed under this PON may currently
         be in'any of 'the following stages of development:
         concepEual design, preliminary design, final
         detailed design, construction, or presently in
         operation.  (Emphasis added.)

         Dr. Freeman and his father were engaged in the con-
  struction of a solar heating unit for their medical office






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