B-180566, AUG 19, 1974

B-180566, AUG 19, 1974

REQUEST FOR RELIEF FROM ASSESSMENT OF LIQUIDATED DAMAGES IS DENIED ON BASIS OF RECOMMENDATION AGAINST REMISSION BY CONTRACTING AGENCY CONCERNED, SINCE COMPTROLLER GENERAL IS AUTHORIZED UNDER 41 U.S.C. 256(A) TO REMIT LIQUIDATED DAMAGES ONLY UPON FAVORABLE RECOMMENDATION BY HEAD OF CONTRACTING AGENCY.

FIRST NATIONAL BANK OF THE BLACK HILLS:

BY LETTER DATED JANUARY 31, 1974, FIRST NATIONAL BANK OF THE BLACK HILLS REQUESTED RELIEF ON BEHALF OF RICHARD JANIS FROM AN ASSESSMENT OF LIQUIDATED DAMAGES, IN THE AMOUNT OF $14,250.00, BY THE PUBLIC HEALTH SERVICES, DEPARTMENT OF HEALTH, EDUCATION, AND WELFARE (HEW) UNDER CONTRACT NO. HSM80-72-607.

A REPORT DATED AUGUST 2, 1974, FROM THE DEPUTY ASSISTANT SECRETARY OF HEW RECOMMENDED AGAINST REMISSION OF THE LIQUIDATED DAMAGES ASSESSED UNDER THE SUBJECT CONTRACT. UNDER 41 U.S.C. 256(A) OUR OFFICE IS AUTHORIZED TO REMIT LIQUIDATED DAMAGES IN WHOLE OR IN PART UPON THE RECOMMENDATION OF THE HEAD OF THE CONTRACTING AGENCY. IN REGARD TO THE INSTANT REQUEST FOR RELIEF, IT HAS CONSISTENTLY BEEN OUR POSITION THAT THE CITED STATUTE CLEARLY CONTEMPLATES THAT A FAVORABLE RECOMMENDATION BY THE HEAD OF THE AGENCY CONCERNED IS A PREREQUISITE TO ANY REMISSION ACTION BY OUR OFFICE. SEE B-170911, JUNE 1. 1972; B-175180, MAY 11, 1972.

ACCORDINGLY, WE MUST, PURSUANT TO 41 U.S.C. 256(A), DECLINE TO REMIT ALL OR ANY PART OF THE LIQUIDATED DAMAGES ASSESSED.