Opinion ID: 3066507
Heading Depth: 3
Heading Rank: 2

Heading: C.A. (CCH) at 145,780).

Text: In McMullan, the contractor submitted a claim for overhead costs that were incurred during a suspension in contract work ordered by the government. 1976-1 B.C.A. (CCH) ¶ 11,728 at 55,903. The government subsequently granted the contractor a fifty-five-day extension of the contract completion date. Id. The Board concluded: Respondenths [sic] grant of the 55 day extension in Modification 4 amounted to a recognition by it that the overall project was delayed to that extent and an administrative determination that the delay in question was not due to the fault or negligence of [the contractor]. It also raised a presumption, subject to rebuttal, that respondent was responsible for the delay. This presumption was not overcome by respondent. Id. (citing Singleton Sheet Metal Works, Inc., ASBCA No. 12402, 1969-1 B.C.A. (CCH) ¶ 7,444 (Dec. 20, 1968)). Ostensibly, the Board in McMullan was referring to the 03-1461 12 following statement in Singleton Sheet Metal: “[W]e first find that the contracting officer’s extension by modification . . . of the over-all performance period . . . establishes a presumption of Government responsibility for the extended performance period.” 1969-1 B.C.A. (CCH) ¶ 7,444 at 35,543. The government contends that the ASBCA erred in applying the McMullan presumption. According to the government, the presumption is “at odds” with section 6(a) of the CDA, 41 U.S.C. § 605(a) (hereinafter “section 605(a)”), and with the decisions of this court in Assurance Co. v. United States, 813 F.2d 1202 (Fed. Cir. 1987), and Wilner v. United States, 24 F.3d 1397 (Fed. Cir. 1994) (en banc). The government points out that section 605(a) provides that in rendering a final decision under the CDA, a contracting officer is not required to make specific findings of fact, but that if he chooses to do so, such findings “shall not be binding in any subsequent proceeding.” The government asserts that section 605(a) “would be violated if,” as was done in this case, “a contracting officer’s finding of fact were treated as giving rise to a rebuttable presumption.” Br. Appellant at 7. According to the government, we determined in Assurance that the language of the CDA, quoted above, makes it clear that a contracting officer’s findings of fact are not entitled to special deference on appeal. 813 F.2d at 1206. Turning to Wilner, the government argues that we held in that case that treating a contracting officer’s findings as giving rise to a rebuttable presumption is inconsistent with section 605(a) and Assurance. In short, the government urges that, in the face of the CDA and Wilner and Assurance, the McMullan presumption is no longer viable. 03-1461 13 Smoot responds that its appeal was taken from a “deemed denial” of PCO 172 by CO Denton, who did not render a final decision on its delay claim. Smoot, 2003-1 B.C.A. (CCH) ¶ 32,198 at 159,156 (FF 18). Accordingly, Smoot argues that Wilner and Assurance have no bearing on this appeal. Smoot contends that Wilner relied on the plain language of 41 U.S.C. § 605(a), which refers to findings of fact solely in the setting of a contracting officer’s final decision. Thus, Smoot urges that section 605(a) “does not abolish admissions against interest, contractual modifications, or presumptions arising from acts or conduct other than a contracting officer’s decision . . . .” Br. Appellee at 11. Smoot argues that because the Board relied upon Modification A00135, it did not impermissibly resort to a presumption based upon findings of fact in a contracting officer’s final decision. Whether the ASBCA erred in applying the McMullan presumption because, as the government claims, the presumption is “at odds” with section 605(a) and Wilner and Assurance is a question of law. We consider first the statutory language. B. The CDA provides two avenues by which a government contractor may appeal a decision of a contracting officer denying a claim by the contractor. The contractor may appeal within ninety days of the contracting officer’s decision to the appropriate agency board of contract appeals, 41 U.S.C. § 606, or within a year of the contracting officer’s decision to the United States Court of Federal Claims, id. § 609(a). However, there are two prerequisites to an appeal to either a board of contract appeals or the Court of Federal Claims. Those prerequisites are (1) that the contractor must have submitted a proper CDA claim to the contracting officer requesting a decision, id. § 605(a), and 03-1461 14 (2) that the contracting officer must either have issued a decision on the claim, id. § 609(a), or have failed to issue a final decision within the required time period, id. § 605(c)(5). We have referred to the decision by the contracting officer under the CDA as a “final decision.” Reflectone, Inc. v. Dalton, 60 F.3d 1572, 1575 (Fed. Cir. 1995); Sharman Co. v. United States, 2 F.3d 1564, 1566 (Fed. Cir. 1993). That brings us to section 605(a), the statutory provision upon which the government relies. It provides in pertinent part as follows: (a) Contractor claims. All claims by a contractor against the government relating to a contract shall be in writing and shall be submitted to the contracting officer for a decision. All claims by the government against a contractor relating to a contract shall be the subject of a decision by the contracting officer . . . . The contracting officer shall issue his decisions in writing, and shall mail or otherwise furnish a copy of the decision to the contractor. The decision shall state the reasons for the decision reached, and shall inform the contractor of his rights as provided in this Act. Specific findings of fact are not required, but, if made, shall not be binding in any subsequent proceeding. 41 U.S.C. § 605(a) (2000). The McMullan presumption is not related to a contracting officer’s final decision under the CDA. Rather, it arises from the interim decision of a contracting officer to extend a contract’s completion date. Thus, in this case, Smoot is not arguing that findings of fact in a final decision by CO Denton gave rise to a presumption. What Smoot is arguing is that CO Denton’s interim decision extending the contract completion date gave rise to a presumption. For its part, the government does not contend that CO Denton’s decision either constituted, or was part of, a final decision under the CDA. Rather it argues that application of the McMullan presumption is inconsistent with the policies of the CDA. 03-1461 15