[Request for Decision Concerning Claim for Reimbursement]

A town requested that GAO consider its claim for reimbursement for engineering study costs it incurred on the promise of a grant from the Department of Commerce's Economic Development Administration (EDA). GAO noted that, since a town official signed the agreement without authority to do so, it was the town which prevented a valid grant award. The town contended that EDA should reimburse it because of a promissory estoppel against EDA based on the town's reliance on the grant. GAO held that the doctrine of equitable estoppel did not apply, since it was not due to any misconduct by EDA that the town spent the funds. Accordingly, the claim was denied.