B-188824, JUNE 1, 1977

B-188824, JUNE 1, 1977

PROTEST ALLEGING IMPROPRIETIES IN HUD'S HANDLING OF SOLICITATION ISSUED PURSUANT TO 12 U.S.C. 1713 (1970) WILL NOT BE CONSIDERED, SINCE GAO HAS NO JURISDICTION TO DECIDE SUCH PROTESTS BECAUSE SECRETARY OF HUD HAS BROAD AUTHORITY PURSUANT TO 12 U.S.C. 1702 (1970) TO MAKE EXPENDITURES "WITHOUT REGARD TO ANY OTHER PROVISIONS OF LAW GOVERNING THE EXPENDITURES OF PUBLIC FUNDS."

VETERANS MEMORIAL ASSOCIATION, INC.:

VETERANS MEMORIAL ASSOCIATION, INC., PROTESTS ALLEGED IMPROPRIETIES BY THE DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (HUD) IN ITS HANDLING OF A SOLICITATION FOR PROPOSALS FROM NON-PROFIT ORGANIZATIONS FOR THE PURCHASE AND OPERATION OF THE CHEROKEE TERRACE APARTMENTS, A LOW-INCOME HOUSING FACILITY IN ENID, OKLAHOMA.

PURSUANT TO 12 U.S.C. 1713(1) (1970), THE SECRETARY OF HUD MAY DISPOSE OF PROPERTY NOTWITHSTANDING ANY OTHER PROVISION OF LAW RELATING TO THE ACQUISITION, HANDLING, OR DISPOSAL OF REAL PROPERTY BY THE UNITED STATES. FURTHERMORE, 12 U.S.C. 1702 (1970) AUTHORIZES THE SECRETARY IN PERTINENT PART (1) TO MAKE SUCH EXPENDITURES AS ARE NECESSARY TO CARRY OUT THE DISPOSAL OF PROPERTY AND OTHER FUNCTIONS WITHOUT REGARD TO ANY OTHER PROVISIONS OF LAW GOVERNING THE EXPENDITURES OF PUBLIC FUNDS AND (2) TO SUE AND BE SUED IN ANY COURT OF COMPETENT JURISDICTION. WHILE THIS AUTHORITY FORMERLY RESIDED IN THE COMMISSIONER OF THE FEDERAL HOUSING ADMINISTRATION (FHA), IT WAS TRANSFERRED IN 1965 TO THE SECRETARY OF HUD BY THE DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT ACT, PUB. L. NO. 89-174 SEC. 5(A), 79 STAT. 669, 42 U.S.C. 3534 (1970).

IN LIGHT OF THE EXTRAORDINARY AUTHORITY GRANTED THE SECRETARY OF HUD BY 12 U.S.C. 1702, OUR OFFICE HAS NO LEGAL BASIS TO QUESTION THE SECRETARY'S EXPENDITURE OF FUNDS AND HAS NO BASIS TO APPROVE OR TO TAKE AN EXCEPTION TO THE SECRETARY'S ACCOUNTS. THEREFORE, THE PROTEST WILL NOT BE CONSIDERED. E. L. SPENCER LUMBER CO., AND JOHN ELLIS, B-188283, FEBRUARY 23, 1977, 77-1 CPD 134.