A-91917, FEBRUARY 7, 1938, 17 COMP. GEN. 636

A-91917: Feb 7, 1938

Additional Materials:

Contact:

Edda Emmanuelli Perez
(202) 512-2853
EmmanuelliPerezE@gao.gov

 

Office of Public Affairs
(202) 512-4800
youngc1@gao.gov

APPROPRIATIONS - SPECIFIC PURPOSES - AVAILABILITY FOR REASONABLE AND NECESSARY INCIDENTALS A SPECIAL APPROPRIATION MADE TO ACCOMPLISH A SPECIFIC PURPOSE IS AVAILABLE FOR ALL EXPENDITURES ESSENTIAL TO THE ACCOMPLISHMENT OF THE SPECIFIC OBJECT FOR WHICH IT WAS MADE. IS AVAILABLE FOR THE COST OF SURFACING AND COVERING OF PUBLIC SPACE NOT INVOLVING THE ERECTION OF BUILDINGS OR IMPROVEMENT OF PUBLIC PROPERTY WITHIN THE MEANING OF SECTION 3733. IF IT IS ADMINISTRATIVELY DETERMINED THAT THE PROPOSED SURFACING AND COVERING IS ESSENTIAL TO THE PRESERVATION AND MAINTENANCE OF THE RESERVE SUPPLY INVOLVED. THE STORAGE BEING REASONABLY AND NECESSARILY INCIDENT TO THE ACCOMPLISHMENT OF THE PURPOSE FOR WHICH THE APPROPRIATION WAS MADE.

A-91917, FEBRUARY 7, 1938, 17 COMP. GEN. 636

APPROPRIATIONS - SPECIFIC PURPOSES - AVAILABILITY FOR REASONABLE AND NECESSARY INCIDENTALS A SPECIAL APPROPRIATION MADE TO ACCOMPLISH A SPECIFIC PURPOSE IS AVAILABLE FOR ALL EXPENDITURES ESSENTIAL TO THE ACCOMPLISHMENT OF THE SPECIFIC OBJECT FOR WHICH IT WAS MADE, NOTWITHSTANDING THE PROVISIONS OF ANY GENERAL STATUTE WHICH OTHERWISE WOULD PROHIBIT SUCH EXPENDITURES. THE APPROPRIATION PROVIDED BY THE ACT OF APRIL 27, 1937, 50 STAT. 108, FOR THE PROCUREMENT AND TRANSPORTATION OF STRATEGIC AND CRITICAL MATERIALS BY THE NAVY DEPARTMENT, IS AVAILABLE FOR THE COST OF SURFACING AND COVERING OF PUBLIC SPACE NOT INVOLVING THE ERECTION OF BUILDINGS OR IMPROVEMENT OF PUBLIC PROPERTY WITHIN THE MEANING OF SECTION 3733, REVISED STATUTES, IN CONNECTION WITH THE STORING OF THE MATERIALS PROCURED, IF IT IS ADMINISTRATIVELY DETERMINED THAT THE PROPOSED SURFACING AND COVERING IS ESSENTIAL TO THE PRESERVATION AND MAINTENANCE OF THE RESERVE SUPPLY INVOLVED, NOTWITHSTANDING THE APPROPRIATION MAKES NO SPECIFIC PROVISION FOR STORAGE, THE STORAGE BEING REASONABLY AND NECESSARILY INCIDENT TO THE ACCOMPLISHMENT OF THE PURPOSE FOR WHICH THE APPROPRIATION WAS MADE.

ACTING COMPTROLLER GENERAL ELLIOTT TO THE SECRETARY OF THE NAVY, FEBRUARY 7, 1938:

YOUR LETTER OF JANUARY 15, 1938, IS AS FOLLOWS:

THERE IS TRANSMITTED HEREWITH A COPY OF A LETTER, DATED DECEMBER 28, 1937, FROM THE CHIEF OF THE BUREAU OF SUPPLIES AND ACCOUNTS TO THE SECRETARY OF THE NAVY, WHEREIN IS REQUESTED AN OPINION AS TO THE AVAILABILITY OF THE APPROPRIATION FOR PROCUREMENT AND TRANSPORTATION OF STRATEGIC AND CRITICAL MATERIALS, CONTAINED IN THE ACT MAKING APPROPRIATIONS FOR THE NAVY DEPARTMENT AND THE NAVAL SERVICE FOR THE FISCAL YEAR ENDING JUNE 30, 1938, AND FOR OTHER PURPOSES, APPROVED APRIL 27, 1937 (PUBLIC NO. 54, 75TH CONG.), FOR THE STORAGE AND HANDLING OF SUCH STRATEGIC AND CRITICAL MATERIALS.

IT WILL BE NOTED THAT IT IS PURPOSED TO SURFACE THE AREA WHERE THE MANGANESE ORE IS TO BE STORED, AND THAT IT IS PURPOSED TO COVER THE PILE OF SUCH MANGANESE ORE. WHILE SUCH SURFACING AND COVERING MAY NOT BE ABSOLUTELY ESSENTIAL, THEY WILL RESULT IN ECONOMIES IN THAT THE FORMER OBVIATES CONTAMINATION AND THE LATTER WILL PREVENT EROSION AND WASTE.

IT IS REQUESTED THAT YOU ADVISE THE NAVY DEPARTMENT WHETHER THE ABOVE MENTIONED APPROPRIATION IS AVAILABLE FOR THE SURFACING OF THE AREA AND THE COVERING OF THE MANGANESE ORE AFTER IT IS PILED, AS SUCH SURFACING AND COVERING WILL BE OF NO USE TO THE NAVY OTHER THAN ACCOMPLISHMENT OF THE PURPOSE OF SAID APPROPRIATION.

THE WORK CONTEMPLATED FOR THE STORAGE OF THE MATERIAL IS OUTLINED IN PARAGRAPH 5 OF LETTER OF DECEMBER 28, 1937, REFERRED TO, AS FOLLOWS:

THERE IS UNDER CONSIDERATION AT THE PRESENT TIME THE QUESTION OF PREPARATION OF SPACE AT THE NAVY YARD, PHILADELPHIA, FOR THE STORING OF 50,000 TONS OF MANGANESE ORE WHICH WILL REMAIN IN STORAGE INDEFINITELY AND UNTIL A NATIONAL EMERGENCY MAY REQUIRE ITS USE. THE STORAGE OF THIS MATERIAL WILL NECESSITATE THE SUPPLYING OF A CONCRETE OR MACADAM SURFACE AT AN ESTIMATED COST OF $13,500, AND THE STOCK PILE WILL REQUIRE A COVERING OF WOOD STRINGERS AND CORRUGATED METAL, THE COST OF WHICH IS ESTIMATED TO BE $6,000. IN ADDITION TO THE ABOVE, THE COST FOR LABOR AND EQUIPMENT INCIDENT TO THE PLACING OF THE MATERIAL IN THE STORAGE PILE IS ESTIMATED AT 54 CENTS PER TON OR A TOTAL OF $27,000 FOR THE 50,000 TONS.

THE ACT OF APRIL 27, 1937, SUPRA, PROVIDES UNDER THE HEADING "STRATEGIC AND CRITICAL MATERIALS: "

FOR THE PROCUREMENT AND TRANSPORTATION OF STRATEGIC AND CRITICAL MATERIALS, $3,500,000, TO REMAIN AVAILABLE UNTIL EXPENDED: PROVIDED, THAT MATERIALS ACQUIRED HEREUNDER SHALL NOT BE ISSUED FOR CURRENT USE IN TIME OF PEACE WITHOUT THE APPROVAL OF THE SECRETARY OF THE NAVY, EXCEPT THAT MATERIALS ACQUIRED UNDER THIS TITLE MAY BE ISSUED FOR CURRENT USE WHEN REPLACED BY MATERIALS PURCHASED FROM CURRENT APPROPRIATIONS: PROVIDED FURTHER, THAT FOR THE PURPOSES OF THIS PARAGRAPH, THE SECRETARY OF THE NAVY SHALL DETERMINE WHAT MATERIALS ARE STRATEGIC AND CRITICAL.

IT APPEARS EVIDENT FROM THE LEGISLATIVE HISTORY OF THE PROVISION AND FROM ITS WORDING AS FINALLY ENACTED INTO LAW, THAT THE PURPOSE OF THE APPROPRIATION WAS TO PROVIDE MEANS FOR ACCUMULATING AND STORING A RESERVE SUPPLY OF STRATEGIC AND CRITICAL MATERIALS TO BE READILY AVAILABLE IN TIME OF MILITARY NEED.

WHILE THE ACT PROVIDES ONLY FOR THE PROCUREMENT AND TRANSPORTATION OF THE MATERIALS AND MAKES NO SPECIFIC PROVISION FOR THEIR STORAGE, IT IS READILY APPARENT THAT THE COST OF STORING THE MATERIALS IS AN EXPENSE REASONABLY AND NECESSARILY INCIDENT TO THE ACCOMPLISHMENT OF THE PURPOSE FOR WHICH THE APPROPRIATION WAS MADE. AND, IT IS A WELL SETTLED RULE THAT WHEN A SPECIAL APPROPRIATION IS MADE TO ACCOMPLISH A SPECIFIC PURPOSE SAID APPROPRIATION MUST BE HELD AVAILABLE FOR ALL EXPENDITURES ABSOLUTELY ESSENTIAL TO THE ACCOMPLISHMENT OF THE SPECIFIC OBJECT FOR WHICH IT WAS MADE, NOTWITHSTANDING THE PROVISIONS OF ANY GENERAL STATUTE WHICH OTHERWISE WOULD PROHIBIT SUCH EXPENDITURES. 2 COMP. GEN. 133; 7 COMP. DEC. 712.

IN THE PRESENT CASE IT IS UNDERSTOOD THAT TO PROVIDE ADEQUATE STORAGE FACILITIES FOR THE MATERIALS THERE IS NOT INVOLVED EITHER THE ERECTION OF BUILDINGS OR THE IMPROVEMENT OF PUBLIC PROPERTY WITHIN THE MEANING OF SECTION 3733, REVISED STATUTES, BUT MERELY THE ADAPTATION OF PUBLIC PROPERTY FOR STORAGE PURPOSES. IN THE CIRCUMSTANCES, IF IT BE ADMINISTRATIVELY DETERMINED THAT THE PROPOSED SURFACING AND COVERING FOR THE MANGANESE IS ESSENTIAL TO ADEQUATELY PRESERVE AND MAINTAIN THE RESERVE SUPPLY FOR WHICH THE APPROPRIATION WAS MADE, THIS OFFICE WILL NOT BE REQUIRED TO OBJECT TO THE USE OF THE APPROPRIATION IN QUESTION FOR THE PURPOSE.