§ 607. — Agency boards of contract appeals.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 41USC607]
TITLE 41--PUBLIC CONTRACTS
CHAPTER 9--CONTRACT DISPUTES
Sec. 607. Agency boards of contract appeals
(a) Establishment; consultation; Tennessee Valley Authority
(1) Except as provided in paragraph (2) an agency board of contract
appeals may be established within an executive agency when the agency
head, after consultation with the Administrator, determines from a
workload study that the volume of contract claims justifies the
establishment of a full-time agency board of at least three members who
shall have no other inconsistent duties. Workload studies will be
updated at least once every three years and submitted to the
Administrator.
(2) The Board of Directors of the Tennessee Valley Authority may
establish a board of contract appeals for the Authority of an
indeterminate number of members.
(b) Appointment of members; chairman; compensation
(1) Except as provided in paragraph (2), the members of agency
boards shall be selected and appointed to serve in the same manner as
administrative law judges appointed pursuant to section 3105 of title 5,
with an additional requirement that such members shall have had not
fewer than five years' experience in public contract law. Full-time
members of agency boards serving as such on the effective date of this
chapter shall be considered qualified. The chairman and vice chairman of
each board shall be designated by the agency head from members so
appointed. Compensation for the chairman, the vice chairman, and all
other members of an agency board shall be determined under section 5372a
of title 5.
(2) The Board of Directors of the Tennessee Valley Authority shall
establish criteria for the appointment of members to its agency board of
contract appeals established in subsection (a)(2) of this section, and
shall designate a chairman of such board. The chairman and all other
members of such board shall receive compensation, at the daily
equivalent of the rates determined under section 5372a of title 5, for
each day they are engaged in the actual performance of their duties as
members of the board.
(c) Appeals; inter-agency arrangements
If the volume of contract claims is not sufficient to justify an
agency board under subsection (a) of this section or if he otherwise
considers it appropriate, any agency head shall arrange for appeals from
decisions by contracting officers of his agency to be decided by a board
of contract appeals of another executive agency. In the event an agency
head is unable to make such an arrangement with another agency, he shall
submit the case to the Administrator for placement with an agency board.
The provisions of this subsection shall not apply to the Tennessee
Valley Authority.
(d) Jurisdiction
Each agency board shall have jurisdiction to decide any appeal from
a decision of a contracting officer (1) relative to a contract made by
its agency, and (2) relative to a contract made by any other agency when
such agency or the Administrator has designated the agency board to
decide the appeal. In exercising this jurisdiction, the agency board is
authorized to grant any relief that would be available to a litigant
asserting a contract claim in the United States Court of Federal Claims.
(e) Decisions
An agency board shall provide to the fullest extent practicable,
informal, expeditious, and inexpensive resolution of disputes, and shall
issue a decision in writing or take other appropriate action on each
appeal submitted, and shall mail or otherwise furnish a copy of the
decision to the contractor and the contracting officer.
(f) Accelerated appeal disposition
The rules of each agency board shall include a procedure for the
accelerated disposition of any appeal from a decision of a contracting
officer where the amount in dispute is $100,000 or less. The accelerated
procedure shall be applicable at the sole election of only the
contractor. Appeals under the accelerated procedure shall be resolved,
whenever possible, within one hundred and eighty days from the date the
contractor elects to utilize such procedure.
(g) Review
(1) The decision of an agency board of contract appeals shall be
final, except that--
(A) a contractor may appeal such a decision to the United States
Court of Appeals for the Federal Circuit within one hundred twenty
days after the date of receipt of a copy of such decision, or
(B) the agency head, if he determines that an appeal should be
taken, and with the prior approval of the Attorney General,
transmits the decision of the board of contract appeals to the Court
of Appeals for the Federal Circuit for judicial review under section
1295 of title 28, within one hundred and twenty days from the date
of the agency's receipt of a copy of the board's decision.
(2) Notwithstanding the provisions of paragraph (1), the decision of
the board of contract appeals of the Tennessee Valley Authority shall be
final, except that--
(A) a contractor may appeal such a decision to a United States
district court pursuant to the provisions of section 1337 of title
28, within one hundred twenty days after the date of receipt of a
copy of such decision, or
(B) The Tennessee Valley Authority may appeal the decision to a
United States district court pursuant to the provisions of section
1337 of title 28, within one hundred twenty days after the date of
the decision in any case.
(3) An award by an arbitrator under this chapter shall be reviewed
pursuant to sections 9 through 13 of title 9, except that the court may
set aside or limit any award that is found to violate limitations
imposed by Federal statute.
(h) Procedural guidelines
Pursuant to the authority conferred under the Office of Federal
Procurement Policy Act [41 U.S.C. 401 et seq.], the Administrator is
authorized and directed, as may be necessary or desirable to carry out
the provisions of this chapter, to issue guidelines with respect to
criteria for the establishment, functions, and procedures of the agency
boards (except for a board established by the Tennessee Valley
Authority).
(Pub. L. 95-563, Sec. 8, Nov. 1, 1978, 92 Stat. 2385; Pub. L. 97-164,
title I, Secs. 156, 160(a)(15), Apr. 2, 1982, 96 Stat. 47, 48; Pub. L.
101-509, title V, Sec. 529 [title I, Sec. 104(d)(4)], Nov. 5, 1990, 104
Stat. 1427, 1447; Pub. L. 101-552, Sec. 6(b), Nov. 15, 1990, 104 Stat.
2746; Pub. L. 102-572, title IX, Sec. 902(b)(1), Oct. 29, 1992, 106
Stat. 4516; Pub. L. 103-355, title II, Sec. 2351(c), Oct. 13, 1994, 108
Stat. 3322.)
References in Text
For the effective date of this chapter, referred to in subsec.
(b)(1), see section 16 of Pub. L. 95-563, set out as an Effective Date
note under section 601 of this title.
The Office of Federal Procurement Policy Act, referred to in subsec.
(h), is Pub. L. 93-400, Aug. 30, 1974, 88 Stat. 796, as amended, which
is classified principally to chapter 7 (Sec. 401 et seq.) of this title.
For complete classification of this Act to the Code, see Short Title
note set out under section 401 of this title and Tables.
Codification
In subsec. (b)(1), ``administrative law judges'' substituted for
``hearing examiners'' on authority of section 3 of Pub. L. 95-251, Mar.
27, 1978, 92 Stat. 184, which is set out as a note under section 3105 of
Title 5, Government Organization and Employees.
Subsec. (i), which required all agency boards of three or more full
time members, except that of the Tennessee Valley Authority, within one
hundred and twenty days after Nov. 1, 1978, to develop workload studies
for approval by the agency head specified in subsec. (a)(1), was
omitted.
Amendments
1994--Subsec. (f). Pub. L. 103-355 substituted ``$100,000'' for
``$50,000''.
1992--Subsec. (d). Pub. L. 102-572 substituted ``United States Court
of Federal Claims'' for ``United States Claims Court''.
1990--Subsec. (b)(1). Pub. L. 101-509, Sec. 529 [title I,
Sec. 104(d)(4)(A)], substituted ``Compensation for the chairman, the
vice chairman, and all other members of an agency board shall be
determined under section 5372a of title 5.'' for ``The chairman of each
agency board shall receive compensation at a rate equal to that paid a
GS-18 under the General Schedule contained in section 5332, of title 5,
the vice chairman shall receive compensation at a rate equal to that
paid a GS-17 under such General Schedule, and all other members shall
receive compensation at a rate equal to that paid a GS-16 under such
General Schedule. Such positions shall be in addition to the number of
positions which may be placed in GS-16, GS-17, and GS-18 of such General
Schedule under existing law.''
Subsec. (b)(2). Pub. L. 101-509, Sec. 529 [title I,
Sec. 104(d)(4)(B)], substituted ``The chairman and all other members of
such board shall receive compensation, at the daily equivalent of the
rates determined under section 5372a of title 5, for each day they are
engaged in the actual performance of their duties as members of the
board.'' for ``The chairman of such board shall receive compensation at
a rate equal to the daily rate paid a GS-18 under the General Schedule
contained in section 5332, of title 5, for each day he is engaged in the
actual performance of his duties as a member of such board. All other
members of such board shall receive compensation at a rate equal to the
daily rate paid a GS-16 under such General Schedule for each day they
are engaged in the actual performance of their duties as members of such
board.''
Subsec. (g)(3). Pub. L. 101-552 added par. (3).
1982--Subsec. (d). Pub. L. 97-164, Sec. 160(a)(15), substituted
``United States Claims Court'' for ``Court of Claims''.
Subsec. (g)(1)(A). Pub. L. 97-164, Sec. 156(1), substituted ``United
States Court of Appeals for the Federal Circuit'' for ``Court of
Claims''.
Subsec. (g)(1)(B). Pub. L. 97-164, Sec. 156(2), substituted ``Court
of Appeals for the Federal Circuit for judicial review under section
1295 of title 28'' for ``United States Court of Claims for judicial
review, under section 2510 of title 28''.
Effective Date of 1994 Amendment
For effective date and applicability of amendment by Pub. L. 103-
355, see section 10001 of Pub. L. 103-355, set out as a note under
section 251 of this title.
Effective Date of 1992 Amendment
Amendment by Pub. L. 102-572 effective Oct. 29, 1992, see section
911 of Pub. L. 102-572, set out as a note under section 171 of Title 28,
Judiciary and Judicial Procedure.
Effective Date of 1990 Amendment
Amendment by Pub. L. 101-509 effective on such date as the President
shall determine, but not earlier than 90 days, and not later than 180
days, after Nov. 5, 1990, see section 529 [title III, Sec. 305] of Pub.
L. 101-509, set out as a note under section 5301 of Title 5, Government
Organization and Employees.
Effective Date of 1982 Amendment
Amendment by Pub. L. 97-164 effective Oct. 1, 1982, see section 402
of Pub. L. 97-164, set out as a note under section 171 of Title 28,
Judiciary and Judicial Procedure.
Section Referred to in Other Sections
This section is referred to in sections 601, 603, 606, 609 of this
title; title 5 sections 504, 5102, 5372a, 9003; title 22 section 3862;
title 25 section 450m-1; title 28 sections 1295, 1346.
