Herren Associates, Inc.

Material Facts

• On June 18, 2013, the government awarded Herren a contract for engineering and support services.
• Compensation was on a cost reimbursement basis to include a fixed fee for most of the line items.
• During performance of the second option year, a government employee directed Cardinal Engineering, a Herren subcontractor, to perform certain services that would increase the contract price by $136,000.
• Herren paid Cardinal the full value of the work performed.
• Herren invoiced the government for the additional costs incurred as a result of government direction concerning Cardinal.
• The government allocated some funding for the Cardinal work, but it did not cover all costs incurred during the second option year, resulting in a deficiency of $67,730.80.
• Herren submitted a claim containing essentially the same allegations as the complaint which has been denied by the contracting officer.

Parties

Appellant

Herren Associates, Inc.

Respondent Agency

Department of the Navy

Contract Number

N00178-04-D-4062-EH02