[Decision Concerning Licensing Agreement Between USIA and West German Copyright Agency]

The United States Information Agency (USIA) requested a decision regarding the legality of its 20-year lease agreement with a German company. GAO held that: (1) although the agreement was legally binding for 1 year, it violated the Antideficiency Act provisions prohibiting agencies from entering into contracts in advance of appropriations; (2) USIA properly carried out the agreement for 11 years, since yearly appropriated funds were available for payment; and (3) the agency would not violate any law should it decide to withdraw from the arrangement. Accordingly, the payments were proper.