ASBCA 60905
Board: ASBCA
Agency: Army
Appellant: Anaconda Construction Company
Date: 2017-06-14
Outcome: dismissed
ARMED SERVICES BOARD OF CONTRACT APPEALS
Appeal of -- )
)
Anaconda Construction Company ) ASBCA No. 60905
)
Under Contract No. W91B4N-12-P-5086 )
APPEARANCE FOR THE APPELLANT: Mr. Shoib Khan
CEO
APPEARANCES FOR THE GOVERNMENT: Raymond M. Saunders, Esq.
Army Chief Trial Attorney
MAJ Christopher M. Coy, JA
Trial Attorney
OPINION BY ADMINISTRATIVE JUDGE SWEET
ON THE GOVERNMENT'S MOTION TO DISMISS
Appellant Anaconda Construction Company (ACC) brings this action
challenging the government's decision that it was not entitled to the costs of two
loaders allegedly destroyed in the course of performing the above-captioned contract,
and the government's decision to deny ACC's settlement proposal. The government
has moved to dismiss this action for failure to timely appeal the relevant contracting
officer's final decisions. ACC submitted a short response to the motion. The motion
is granted.
STATEMENT OF FACTS CSOF) FOR PURPOSES OF THE MOTION
1. The Bagram Regional Contracting Center (government) awarded Contract
No. W91B4N-12-P-5086 to ACC to operate and maintain a burn pit for solid waste at
Bagram Airfield in Afghanistan (R4, tab 1 at 4, 45 1).
2. The government terminated the contract for convenience, effective
15 October 2013 (R4, tab 35 at 164). The termination notice directed ACC to submit
any settlement proposal by 15 November 2013 (id. at 165).
3. On 24 October 2013, ACC submitted a claim (October claim) for the cost to
replace two loaders that were destroyed by fire during incineration operations (R4,
tab 40 at 185). The October claim was for $160,000 (id.). The October claim also
1
All Rule 4 cites are to the consecutively-numbered pages.
contained a certification in accordance with the requirements of the Contract Disputes
Act (41 U.S.C. §§ 7101-7109) (id. at 184).
4. On 28 October 2013, the contracting officer (CO) emailed ACC a final
decision on the October claim (October decision) (R4, tab 42). The CO determined
that the government did not owe any funds to ACC (id. at 189). He also informed
ACC that "[t]his is the final decision of the Contracting Officer. You may appeal this
decision to the agency board of contract appeals. If you decide to appeal, you must,
within 90 days from the date you receive this decision, mail or otherwise furnish
written notice to the agency." (Id.)
5. On 7 November 2013, ACC apparently submitted a settlement proposal
(settlement proposal) to the CO for $451,600, which represented labor and leased
equipment expenses (R4, tab 49 at 210). 2
6. On 18 November 2013, the CO sent ACC a "Notice of Intent to Settle by
Contracting Officer Determination." The notice stated that the government intended to
reject the settlement proposal due to a lack of supporting documentation. (R4, tab 49 at
210) The notice also requested that ACC submit supporting documentation within
15 days (id.).
7. Within 15 days, ACC submitted a revised settlement proposal (R4, tab 48). The
revised settlement proposal sought to recover ( 1) $160,000 for the two loaders that were
the subject of the October claim; and (2) $112,900 in other costs (id.). The revised
settlement proposal did not contain a certification3 (id.).
8. On 26 November 2013, the CO sent ACC a final decision (November decision)
on the revised settlement proposal (R4, tab 53). The November decision stated that,
"[s]ince the matter of the loaders was addressed by previous Contracting Officer Final
Decision (dated 28 Oct 2013) outside the termination process, ... the cost could not be
included in the settlement" (id. at 223). The November decision also found that ACC
was not entitled to any of the claimed $112,900 in costs (id.). As with the October
decision, the November decision stated that "[t]his is the final decision of the Contracting
Officer. You may appeal this decision to the agency board of contract appeals. If you
decide to appeal, you must, within 90 days from the date you receive this decision, mail
or otherwise furnish written notice to the agency." (Id. at 224)
2
The settlement proposal is not part of the record, but is referenced in the
18 November 2013 notice of intent to settle (R4, tab 49 at 210; SOF ii 6).
3
Nor was one required as a settlement proposal is typically submitted for negotiation
and it becomes a claim after the parties reach an impasse.
2
9.