[Claim for Advertising Services]

Two newspapers claimed reimbursement for advertising services provided to the Army for personnel recruitment. The record indicated that there was no prior written approval for the advertisements from the department head or his representative. Even though the Army reported that the Government received a benefit at fair and reasonable prices, GAO has held that the applicable statute makes it clear that subsequent approval or attempted ratification is not sufficient to remove the statutory bar against payment. However, GAO has concluded that, when a newspaper publishes advertisements in good faith and the Government receives a benefit, the equities warrant reporting the claim to Congress under the Meritorious Claims Act. Therefore, GAO is submitting the claim to Congress pursuant to the Act and recommending that payment of the claim be authorized.