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B-200534 1 (1980-10-15)

handle is hein.gao/gaobadipy0001 and id is 1 raw text is: LEk'% U-R /7J3 THE COMPTROLLER GENERAL DECISION . OF THE UNITED STATES W WASHING.TON. D.C. 20548 FILE: B-200534 DATE: October 15, 1980 MATTER OF: East Bay Auto Supply, Inc. DIGEST: Cont actor's 4aim for contract price adjust- men to mitiQate its overhead losses after Air Force reduced quantities ordered under the contract is not for review by GAO but is for disposition under contract's Disputes procedures. East Bay Auto Supply, Inc. (East Bay) has sub- mitted a claim under contracts Nos. F33617-80-D0002 and F33617-77-90141 awarded by the Air Force to provide parts for vehicles for use at the Rickenbacker Air Force Base in Ohio. East Bay contends that originally the Air Force and East Bay agreed that the severe reduction in the vehitle fleet was.outside the scope and intent of the original contract and therefore a reduction in the discounts structure to mitigate East Bay's overhead losscs was appropriate. By letter dated June 19, 1979, the Air Force notified East Bay that due to a realignment of mili- tary forces at Rickenbacker a reduction in the vehicle fleet was contemplated, and thus the scope of the fis- cal year 1980 contract with East Bay was being reduced. On May 6, 1980, after monitoring the monthly sales since notification of the reduction, East Bay submitted a claim of $14,336 for the period of July 1, 1979 through September 30, 1980 to mitigate the overhead losses sus- tained by the severe reduction (46 percent) of vehicles. The Air Force on July 10, 1980, notified East Bay that no adjustments could be made as the contract pro- visions did not allow for one. Specifically, the Air VQ

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