B-157609, OCT. 5, 1965

B-157609: Oct 5, 1965

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ALSO INCLUDED IS THE COST OF PROPERTY WITHIN THE FACILITY WHICH WAS DESTROYED OR REMOVED BY THE PORT AUTHORITY AND NOT REPLACED. TO THE DEPARTMENT OF JUSTICE FOR ITS DETERMINATION AS TO WHETHER OR NOT THE INDEBTEDNESS IS DUE THE GOVERNMENT IN ITS ENTIRETY. IT IS WITHIN THE PROVINCE OF THIS OFFICE TO MAKE THE ABOVE-REQUESTED DETERMINATION. IT IS OUR OPINION THAT THE AMOUNT OF $78. 374.17 IS CURRENTLY DUE AND OWING TO THE UNITED STATES. THE FILE ALSO INDICATES THAT YOU MAY HAVE DIFFICULTY MEETING FUTURE PAYMENTS UNDER THE SCHEDULE AND WISH TO SETTLE THE MATTER BY COMPROMISE. YOU HAVE NOT.

B-157609, OCT. 5, 1965

TO PANAMA CITY PORT AUTHORITY:

BY LETTER DATED AUGUST 12, 1965, THE DEPARTMENT OF THE NAVY FORWARDED TO OUR OFFICE THE FILE RELATIVE TO THE INDEBTEDNESS OF THE PANAMA CITY PORT AUTHORITY TO THE UNITED STATES IN THE AMOUNT OF $78,374.17. THIS AMOUNT REPRESENTS THE BALANCE DUE OF AN ORIGINAL INDEBTEDNESS OF $119,792.41 FOR RENTAL DUE UNDER DEPARTMENT OF THE NAVY LEASE NOY/R/-61058 FOR THE LEASING BY THE PORT AUTHORITY OF THE FACILITIES OF THE NAVAL INDUSTRIAL RESERVE SHIPYARD. ALSO INCLUDED IS THE COST OF PROPERTY WITHIN THE FACILITY WHICH WAS DESTROYED OR REMOVED BY THE PORT AUTHORITY AND NOT REPLACED. YOUR LETTER OF AUGUST 2, 1965, TO THE DEPARTMENT OF JUSTICE FOR ITS DETERMINATION AS TO WHETHER OR NOT THE INDEBTEDNESS IS DUE THE GOVERNMENT IN ITS ENTIRETY. UNDER THE APPLICABLE STATUTE (31 U.S.C. 71), IT IS WITHIN THE PROVINCE OF THIS OFFICE TO MAKE THE ABOVE-REQUESTED DETERMINATION, AND FOR THAT REASON THE FILE HAS BEEN SENT HERE.

ALTHOUGH THE CORRESPONDENCE DISCLOSES SOME PRIOR DISPUTE OVER CERTAIN FACTS, THE PARTIES, ON JULY 24, 1962, AGREED AS TO THE AMOUNT DUE AND ESTABLISHED A SCHEDULE OF PAYMENTS TO LIQUIDATE THE DEBT. THIS APPEARS PROPER, AND IT IS OUR OPINION THAT THE AMOUNT OF $78,374.17 IS CURRENTLY DUE AND OWING TO THE UNITED STATES.

THE FILE ALSO INDICATES THAT YOU MAY HAVE DIFFICULTY MEETING FUTURE PAYMENTS UNDER THE SCHEDULE AND WISH TO SETTLE THE MATTER BY COMPROMISE. YOU HAVE NOT, HOWEVER, INDICATED THE TERMS YOU WISH TO PROPOSE. IF YOU DESIRE TO DISPOSE OF THE MATTER BY A COMPROMISE SETTLEMENT, WE SUGGEST THAT YOU TRANSMIT TO US A FIRM OFFER, TOGETHER WITH A STATEMENT AS TO THE REASONS WHY LESS THAN THE FULL AMOUNT DUE SHOULD BE ACCEPTED, SO THAT WE MAY, WITH AN APPROPRIATE RECOMMENDATION, FORWARD THE MATTER TO THE DEPARTMENT OF JUSTICE FOR ITS CONSIDERATION.