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Department of Labor--Refusal of Contracting Officer to Consider Claims Made by Contractor Against Funds Available Due to Disallowance

B-208871.2: Feb 9, 1989

The Department of Labor Associate Solicitor for Employment and Training Legal services has asked whether a contracting officer or grant official may, at his discretion, refuse to allow valid costs submitted as substitute costs for previously disallowed costs as long as the total amount allocated to the contract is not exceeded. GAO concludes that where funds remain available under a grant or contr...

B-208871.2, Feb 9, 1989, 68 Comp.Gen. 247

B-208871.2: Feb 9, 1989

Procurement Payment/Discharge - Costs - Substitution A contracting officer is required to pay all allowable costs under a grant or contract up to the maximum amounts authorized and allocated for the contract. The contracting officer must apply them to any excess costs that are otherwise allowable but which could not previously be paid because they exceeded the cost ceiling. Refuse to allow valid c...

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