B-100602, JAN 12, 1951

B-100602, JAN 12, 1951

PRECIS-UNAVAILABLE

THE SECRETARY OF THE NAVY:

I HAVE YOUR LETTER OF JANUARY 8, 1951, WITH ENCLOSURES, REQUESTING A DECISION AS TO WHETHER THE BID OF DRAYER-HANSON, INC., SUBMITTED IN RESPONSE TO INVITATION NO. D-53,085, ISSUED BY THE AVIATION SUPPLY OFFICE, PHILADELPHIA, PENNSYLVANIA, PROPERLY MAY BE CORRECTED TO THE CORPORATION'S INTENDED BID PRICE AND AN AWARD MADE TO THAT CORPORATION.

SECTION 2(C)(1) OF THE ARMED SERVICES PROCUREMENT ACT OF 1947, 62 STAT. 21, PROVIDES THAT ALL PURCHASES AND CONTRACTS FOR SUPPLIES AND SERVICES MAY BE NEGOTIATED BY THE AGENCY HEADS SPECIFIED IN SECTION 2(A) WITHOUT ADVERTISING, IF DETERMINED TO BE NECESSARY IN THE PUBLIC INTEREST DURING A PERIOD OF NATIONAL EMERGENCY DECLARED BY THE PRESIDENT OR BY THE CONGRESS.

A NATIONAL EMERGENCY WAS DECLARED BY THE PRESIDENT OF THE UNITED STATES ON DECEMBER 16, 1950. UNDER DATE OF DECEMBER 18, 1950, THE ASSISTANT SECRETARY OF THE NAVY DETERMINED, IN ACCORDANCE WITH SECTION 2(C)(1) OF THE ARMED SERVICES PROCUREMENT ACT OF 1947, THAT IT WAS NECESSARY IN THE PUBLIC INTEREST THAT PURCHASES AND CONTRACTS FOR SUPPLIES AND SERVICES UNDER SAID ACT BE NEGOTIATED WITHOUT FORMAL ADVERTISING DURING THE PERIOD OF SAID NATIONAL EMERGENCY.

IN VIEW OF THE FOREGOING, THIS OFFICE PERCEIVES NO LEGAL OBJECTION TO ENTERING INTO A CONTRACT WITH DRAYER-HANSON, INC., PURSUANT TO SECTION 2(A)(1) OF THE ARMED SERVICES PROCUREMENT ACT OF 1947 UNDER SUCH TERMS AND CONDITIONS AS ARE ADMINISTRATIVELY DEEMED APPROPRIATE.

THE PAPERS SUBMITTED WITH YOUR LETTER ARE RETURNED HEREWITH.