[Decision Concerning Funding of Replacement Contracts]

The Bureau of the Mint requested a decision regarding whether it could reobligate fiscal year (FY) 1988 funds during FY 1989 to fund a replacement contract for asbestos removal. The Mint advised that it: (1) terminated a contract it awarded in FY 1988, pursuant to a federal court order; and (2) lacked FY 1989 funds to resolicit. GAO held that, subject to certain conditions, the Mint could use FY 1988 funds for the replacement contract, since the court determined that the previous contract award was improper. Accordingly, the Mint should: (1) ensure that it made its original contract award in good faith; (2) assess its continuing need for asbestos removal; (3) solicit for the same requirements it originally did; and (4) execute the replacement contract without undue delay.