60533

HCS, Inc.

September 20, 2016Judge Hartman
Sustained / Appellant PrevailedContract InterpretationSmall Business

HCS, Inc. appealed a unilateral contract modification by the Navy that reduced the contract price by over 50% after directing a change in the scope of work. The Board sustained the appeal, awarding HCS additional compensation.

Material Facts

  • The Navy modified the contract to require capping a leaking 4" pipeline instead of replacing part of an 8" pipeline.
  • HCS submitted a bid of $40,975.00 for the contract work.
  • The Navy unilaterally reduced the contract price by $21,082.13 after the work was completed.
  • HCS performed all work required by the original contract except for the replacement of part of the 8" pipeline.
  • The Navy's COR directed HCS to cap the 4" pipeline instead of replacing the 8" pipeline.

Parties

Appellant
HCS, Inc.
Respondent Agency
Department of the Navy
Contracting Agency
Naval Facilities Engineering Command Southeast
Contract Number
N69450-l 5-M-5346
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