B-130247, JAN. 14, 1957

B-130247: Jan 14, 1957

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DEPARTMENT OF THE INTERIOR: REFERENCE IS MADE TO YOUR LETTER OF JANUARY 3. A CONTRACT WAS NEGOTIATED WITH THE UNIVERSITY OF WASHINGTON FOR RESEARCH ON THE USE OF MICRO ORGANISMS TO IDENTIFY STOCKS OF NORTH AMERICAN AND ASIAN SALMON. WHICH IS OF THE COST-REIMBURSEMENT TYPE. NOTICE TO PROCEED WAS SENT BY THE CONTRACTING OFFICER ON SEPTEMBER 29. WAS MISTAKENLY INTERPRETED BY THE CONTRACTOR TO APPLY TO THE SUBJECT CONTRACT AND WORK WAS ACTUALLY BEGUN ON THE CONTRACT IN QUESTION ON JULY 1. 882.67 FOR COSTS INCURRED BETWEEN THE TIME WORK WAS BEGUN AND NOTICE TO PROCEED WAS SENT. WHICH WAS SET OFF AGAINST SUBSEQUENT PAYMENTS DUE THE CONTRACTOR. IS COVERED BY THE SUBMITTED VOUCHER. THERE IS NO QUESTION THAT THE CONTRACTOR UNDERTOOK THE WORK ON JULY 1 IN GOOD FAITH.

B-130247, JAN. 14, 1957

TO MR. W. E. CORBIN, AUTHORIZED CERTIFYING OFFICER, DEPARTMENT OF THE INTERIOR:

REFERENCE IS MADE TO YOUR LETTER OF JANUARY 3, 1957, AND ENCLOSURES, REQUESTING AN ADVANCE DECISION AS TO THE PROPRIETY OF PAYING A VOUCHER SUBMITTED BY THE UNIVERSITY OF WASHINGTON IN THE AMOUNT OF $3,882.67 UNDER THE CIRCUMSTANCES SET OUT BELOW.

PURSUANT TO 41 U.S.C. 252 (C) (5), A CONTRACT WAS NEGOTIATED WITH THE UNIVERSITY OF WASHINGTON FOR RESEARCH ON THE USE OF MICRO ORGANISMS TO IDENTIFY STOCKS OF NORTH AMERICAN AND ASIAN SALMON. THE CONTRACT, NO. 14- 19-008-2418, WHICH IS OF THE COST-REIMBURSEMENT TYPE, PROVIDES IN ARTICLE 1 THAT IT SHALL CONTINUE "FOR ONE YEAR FROM DATE OF NOTICE TO PROCEED.' NOTICE TO PROCEED WAS SENT BY THE CONTRACTING OFFICER ON SEPTEMBER 29, 1955. A NOTICE TO PROCEED ISSUED JUNE 28, 1955, IN CONNECTION WITH ANOTHER CONTRACT, WAS MISTAKENLY INTERPRETED BY THE CONTRACTOR TO APPLY TO THE SUBJECT CONTRACT AND WORK WAS ACTUALLY BEGUN ON THE CONTRACT IN QUESTION ON JULY 1, 1955. A PROGRESS AUDIT OF THE CONTRACTOR'S BOOKS AND RECORDS DISCLOSED THAT THE CONTRACTOR HAD CLAIMED AND BEEN PAID $3,882.67 FOR COSTS INCURRED BETWEEN THE TIME WORK WAS BEGUN AND NOTICE TO PROCEED WAS SENT. THAT AMOUNT, WHICH WAS SET OFF AGAINST SUBSEQUENT PAYMENTS DUE THE CONTRACTOR, IS COVERED BY THE SUBMITTED VOUCHER.

THERE IS NO QUESTION THAT THE CONTRACTOR UNDERTOOK THE WORK ON JULY 1 IN GOOD FAITH. IT IS INDICATED IN A LETTER OF SEPTEMBER 11, 1956, FROM THE ACTING DIRECTOR OF THE FISH AND WILDLIFE SERVICE THAT THE EARLIER INITIATION OF THE WORK OPERATED TO THE ADVANTAGE OF THE GOVERNMENT, SINCE THE RESEARCH FINDINGS ON THE SUBJECT OF THE CONTRACT ARE URGENTLY NEEDED. FURTHER, THE EARLIER START PERMITTED THE CONTRACTOR TO CARRY ON RESEARCH IN THE NORMAL SUMMER RESEARCH SEASON. IN ANY CASE, SINCE THE GOVERNMENT WILL RECEIVE WHAT IT CONTRACTED FOR, AND SINCE THE EARLIER BEGINNING WILL PRESUMABLY PERMIT THE COMPLETION OF THE WORK UNDER THE CONTRACT AT A TIME EARLIER THAN WOULD OTHERWISE HAVE BEEN POSSIBLE, THE RESULT APPEARS TO BE TO THE GOVERNMENT'S ADVANTAGE.

ACCORDINGLY, THE VOUCHER, WHICH IS ENCLOSED, MAY BE CERTIFIED FOR PAYMENT IF OTHERWISE CORRECT.