Alaska Aerospace Corporation

Material Facts

• The Missile Defense Agency awarded Contract No. HQ0006-03-D-0043 to AAC for support services and use of the Kodiak Launch Complex in Alaska.
• The contract was a cost-plus-fixed-fee, indefinite-delivery/indefinite-quantity contract.
• The contract incorporated by reference FAR clause 52.216-7, which allows for the reimbursement of contributions to employee pension plans.
• AAC submitted its FY08 Incurred Cost Proposal, which included costs for employee pension plan contributions paid by both AAC and the State of Alaska.
• The contracting officer issued a COFD disallowing $302,637 in employee pension plan contributions based on an audit report prepared by the DCAA.
• The COFD did not state that the government had previously paid AAC, only that the contracting officer was imposing a penalty.
• The DCAA audit report states that the questioned costs in AAC's FY08 proposal are not subject to penalty.
• The government admitted in its answer that penalties are not an issue in this appeal.

Parties

Appellant

Alaska Aerospace Corporation

Contract Number

HQ0006-03-D-0043