Turnkey Enterprises, Inc. v. United States

597 F.2d 750, 26 Cont. Cas. Fed. 83,201, 220 Ct. Cl. 179, 1979 U.S. Ct. Cl. LEXIS 116
CourtUnited States Court of Claims
DecidedApril 18, 1979
DocketNo. 304-76
StatusPublished
Cited by19 cases

This text of 597 F.2d 750 (Turnkey Enterprises, Inc. v. United States) is published on Counsel Stack Legal Research, covering United States Court of Claims primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Turnkey Enterprises, Inc. v. United States, 597 F.2d 750, 26 Cont. Cas. Fed. 83,201, 220 Ct. Cl. 179, 1979 U.S. Ct. Cl. LEXIS 116 (cc 1979).

Opinion

PER CURIAM: This case comes before the court on defendant’s motion, filed March 9, 1979, moving that the court adopt, as the basis for its judgment in this case the recommended decision of Trial Judge Thomas J. Lydon, filed January 31, 1979, pursuant to Rule 166(c), on plaintiffs motion and defendant’s cross-motion for summary judgment, plaintiff having filed no request for review thereof by the court and the time for so filing pursuant to the Rules of the court having expired. Upon consideration thereof, without oral argument, since the court agrees with the trial judge’s recommended decision, as hereinafter set forth, it hereby grants defendant’s motion and affirms and adopts the said decision as the basis for its judgment in this case. Therefore, it is concluded that the administrative decision under review is supported by substantial evidence and is otherwise correct as a matter of law. Accordingly, plaintiffs motion for summary judgment is denied, defendant’s cross-motion for summary judgment is granted and plaintiffs petition is dismissed.

[183]*183OPINION OF TRIAL JUDGE

LYDON, Trial Judge:

This case comes before the court on motions for summary judgment1 which present for Wunderlich Act review (see 41 U.S.C. §§ 321-22) a decision of the Department of Agriculture Board of Contract Appeals (hereinafter the Board), AGBCA No. 365, 76-1 BCA ¶ 11,674, denying plaintiffs claim for an equitable adjustment under the "Differing Site Conditions” Article (also referred to as the changed conditions clause) of a contract between plaintiff and the Forest Service, United States Department of Agriculture. Plaintiff challenges the Board’s decision as being erroneous as a matter of law and as lacking substantial evidence relative to certain of its factual findings. For reasons stated herein, it is concluded that the administrative decision under review is supported by substantial evidence and is otherwise correct as a matter of law. Therefore, plaintiffs motion for summary judgment should be denied, defendant’s cross-motion for summary judgment granted, and plaintiffs petition dismissed.

I

Plaintiff entered into a construction contract (No. 39-3728) dated July 31,1970, with the Forest Service, wherein it agreed to perform certain reconstruction work on the Mad River Road located in the Six Rivers National Forest in northern California.2 Plaintiff, as the lowest of eight [184]*184bidders who responded to a solicitation issued on June 22, 1970, had been awarded the contract for $59,915 and had agreed to perform the contract work within 60 calendar days after receipt of a notice to proceed from the Forest Service.3

In substance, the contract was directed at repairing seven storm damaged sites. The principal work items specified in the contract were 3.5 acres of clearing and grubbing, 15,855 cubic yards of unclassified excavation, and preparation and placement of 2,730 cubic yards of filter material for use as filter blankets. The dispute in this case centers on the preparation of the filter material, the raw ingredient of which was gravel. The contract supplemental specifications (Item 215) provided in pertinent part:

Gravel bars along Mad River within U.S. Forest land are designated as a filter material source. These are located 1.8 miles northwesterly of the project entrance.4

The preparation of filter material which would meet contract specifications required the use of a screening plant so as to separate out various size rock from the aggregate including separation of unwanted fines. Fines are not defined in the record. Ostensibly, fines are a powder-like substance that adhere to rock and generally must be washed away. Plaintiffs screening plant components were delivered to the gravel bar site it had selected, with Forest Service approval, on September 9, 1970.5 Between September 9 and September 22, 1970, plaintiff was engaged, inter alia, in assembling the screening plant. The screening plant was operational on September 22, 1970.

[185]*185In general, plaintiffs contract operations required the use of water for compacting earth, controlling dust, hydromulching,6 and screening plant activities. Plaintiff anticipated that the Mad River, either from its surface or subsurface flow, would provide an adequate supply of water for contract operations. The Mad River was about 1.8 miles from the contract work site.

A small amount of rainfall (0.58 of an inch) was recorded in the Mad River watershed during the month of June 1970. No rainfall at all was recorded in this area for the months of July, August, September and up until it rained on October 19, 1970. It is to be noted the annual record rainfall in this area was greater for 1970, some 120 percent over normal, than it was for the four preceding years. This was due in large measure to the abnormal amount of rainfall which the area experienced in January 1970, a fact noted by plaintiffs hydrology expert. On September 28, 1970, the surface flow of the Mad River ceased. While not crystal clear from the record or the Board’s findings, it would appear that the subsurface flow also ceased on September 28 or the following day at the latest. It is conceded that adequate quantities of water were not available to plaintiff from the Mad River for contract operations from September 28 until October 20, 1970, when rains on October 19 restored the flow to the Mad River. The only contract operation which plaintiff emphasizes as being affected by the lack of water was the production of filter material by means of the screening plant. During this 22-day dry period, plaintiff hauled water to the screening plant site from other sources.7

Plaintiff, contending that the unavailability of water for 22 days constituted changed conditions, sought to recover $44,665.58, plus interest, at the administrative level. This amount, according to plaintiff, represents the additional costs and expense it incurred because of the unavailability of water. The Board in denying plaintiffs claim made no quantum determination.

[186]*186II

The basic question before the Board was whether the lack of water in the Mad River during the period September 28, 1970 — October 20, 1970, entitled plaintiff to an equitable adjustment under the Differing Site Conditions Article of the contract.8 The Board found that the subsurface or latent physical conditions at the site did not differ materially from those indicated in the contract and thus a category one changed condition situation was not present. The Board also found that the unavailability of water in the Mad River during the period in question was the result of weather conditions and that such consequences, under the circumstances of this case, were not changed conditions under category two of the contract Article in question. The Board further found that the contract was silent as to any source of water needed for screening filter gravel and that the drought9 condition complained of was not unexpected although its duration was not foreseeable.

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Bluebook (online)
597 F.2d 750, 26 Cont. Cas. Fed. 83,201, 220 Ct. Cl. 179, 1979 U.S. Ct. Cl. LEXIS 116, Counsel Stack Legal Research, https://law.counselstack.com/opinion/turnkey-enterprises-inc-v-united-states-cc-1979.