B-132264, JUL. 18, 1957

B-132264: Jul 18, 1957

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TO NORTHWEST ENGINEERING ELECTRIC COMPANY: REFERENCE IS MADE TO YOUR LETTER OF MAY 31. WHICH DISALLOWED YOUR CLAIM FOR REFUND OF $48 DISCOUNT ALLEGED TO HAVE BEEN WRONGFULLY TAKEN IN PAYING YOU FOR SERVICES RENDERED THE FAIRCHILD AIR FORCE BASE. THE DISCOUNT TERMS SPECIFIED IN THE CONTRACT WERE: "2 PERCENT - 30 DAYS.'. THE TOTAL CONTRACT PRICE WAS $20. IS $408.76. PAYMENTS MADE UNDER THE CONTRACT WERE AS FOLLOWS: CHART DELIVERY DISCOUNT ORDER NO. 029.24 SINCE ALL OF YOUR INVOICES WERE PAID WITHIN 30 DAYS AFTER THEIR RECEIPT BY THE GOVERNMENT. THE $408.76 DISCOUNT TAKEN IN CONNECTION THEREWITH WAS EARNED. 000 FOUND TO HAVE BEEN MADE UNDER AN EARLIER 1955 CONTRACT (NO. INASMUCH AS THESE DEDUCTIONS WERE PROPERLY MADE FROM THE NET AMOUNTS OF $6.

B-132264, JUL. 18, 1957

TO NORTHWEST ENGINEERING ELECTRIC COMPANY:

REFERENCE IS MADE TO YOUR LETTER OF MAY 31, 1957, REQUESTING RECONSIDERATION OF OUR SETTLEMENT OF MAY 10, 1957, WHICH DISALLOWED YOUR CLAIM FOR REFUND OF $48 DISCOUNT ALLEGED TO HAVE BEEN WRONGFULLY TAKEN IN PAYING YOU FOR SERVICES RENDERED THE FAIRCHILD AIR FORCE BASE, WASHINGTON, UNDER CONTRACT NO. AF 45/613/-402, (DELIVERY ORDERS NOS. 2 AND 3, ISSUED SEPTEMBER 19 AND OCTOBER 12, 1956).

THE DISCOUNT TERMS SPECIFIED IN THE CONTRACT WERE: "2 PERCENT - 30 DAYS.' THE TOTAL CONTRACT PRICE WAS $20,438. COMPUTING THE TWO PERCENT DISCOUNT OFFERED ON THE LATTER FIGURE, THE MAXIMUM DISCOUNT ALLOWABLE UNDER YOUR CONTRACT NO. AF 45/613/-402, IS $408.76. PAYMENTS MADE UNDER THE CONTRACT WERE AS FOLLOWS:

CHART DELIVERY DISCOUNT ORDER NO. AMOUNT DEDUCTED NET DUE PAID

1 $11,240.90 $224.82 $11,016.08 $11,016.08

2 6,969.36 139.39 6,829.97 5,829.97

3 2,227.74 44.55 2,183.19 1,183.19

TOTALS $20,438.00 $408.76 $20,029.24 $18,029.24

SINCE ALL OF YOUR INVOICES WERE PAID WITHIN 30 DAYS AFTER THEIR RECEIPT BY THE GOVERNMENT, THE $408.76 DISCOUNT TAKEN IN CONNECTION THEREWITH WAS EARNED. CONSEQUENTLY, NO PART OF THE ABOVE DISCOUNT SO DEDUCTED AND EARNED BY THE GOVERNMENT MAY BE REFUNDED TO YOU.

THE DIFFERENCE OF $2,000 IN THE TOTALS OF THE LAST TWO COLUMNS OF FIGURES REPRESENTS TWO DEDUCTIONS OF $1,000 EACH MADE ON PAYMENT VOUCHERS NOS. 6198 AND 7033 OF THE OCTOBER 1956 ACCOUNTS OF CAPTAIN L. O. COX, THE GOVERNMENT DISBURSING OFFICER, TO COVER AN OVERPAYMENT OF $2,000 FOUND TO HAVE BEEN MADE UNDER AN EARLIER 1955 CONTRACT (NO. DA 45-012-AVI-640) WITH THE DEPARTMENT OF THE ARMY. INASMUCH AS THESE DEDUCTIONS WERE PROPERLY MADE FROM THE NET AMOUNTS OF $6,829.97 AND $2,183.19 DUE UNDER YOUR DELIVERY ORDERS NOS. 2 AND 3, THEY IN NO WISE AFFECT THE AMOUNT OF THE CASH DISCOUNTS PROPERLY FOR TAKING ON THE TOTAL AMOUNT OF $20,438 STIPULATED FOR THE SERVICES PERFORMED BY YOU UNDER CONTRACT NO. AF 45/613/ -402. THUS, IT IS APPARENT THAT NO PART OF THE TOTAL DISCOUNT DEDUCTION OF $408.76 MADE UNDER YOUR AIR FORCE CONTRACT RELATES TO YOUR EARLIER ARMY CONTRACT NO. DA 45-012-AVI-640.

HENCE, YOUR CLAIM FOR REFUND OF $48 DISCOUNT MUST BE DENIED, AND OUR SETTLEMENT OF MAY 10, 1957, IS SUSTAINED.