58981

River Ridge Development Authority

March 22, 2016Judge Clarke
Partially SustainedOther

River Ridge Development Authority appealed a decision regarding the disallowance of certain costs as credits against fair market rental under a lease with the Army. The Board sustained the appeal in part.

Material Facts

  • The Indiana Army Ammunition Plant was leased to River Ridge Development Authority for the purpose of transferring the property to the State of Indiana.
  • The lease provided that certain costs could be offset as a credit against the fair market rental each year.
  • The Army disallowed certain costs claimed by RRDA as credits.
  • RRDA purchased environmental liability insurance to mitigate risks associated with the property.
  • The Army's contracting officer issued a final decision denying RRDA's claims for costs related to environmental insurance and other expenses.

Parties

Appellant
River Ridge Development Authority
Respondent Agency
U.S. Army Engineer District, Louisville
Contract Number
DACA27-l-02-477
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