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MCGINLEY MAINTENANCE v. COMMONWEALTH PENNSYLVANIA (06/06/88)

decided: June 6, 1988.

MCGINLEY MAINTENANCE, INC., PETITIONER
v.
COMMONWEALTH OF PENNSYLVANIA, DEPARTMENT OF PUBLIC WELFARE, RESPONDENT



Appeal from the Order of the Board of Claims, in the case of McGinley Maintenance, Inc. v. Commonwealth of Pennsylvania, Department of Public Welfare, No. 1039.

COUNSEL

Frank A. Conte, for petitioner.

Bruce G. Baron, Assistant Counsel, for respondent.

Judges Craig and Palladino, and Senior Judge Barbieri, sitting as a panel of three. Opinion by Judge Palladino.

Author: Palladino

[ 116 Pa. Commw. Page 588]

McGinley Maintenance, Inc. (Petitioner) appeals from an order of the Board of Claims (Board) denying Petitioner compensation under a contract for custodial services with the Commonwealth of Pennsylvania, Department of Public Welfare, Mayview State Hospital (Department). We affirm.

Petitioner entered into a contract with the Department whereby Petitioner was to perform certain custodial services at Mayview State Hospital from July 1, 1982 through May 30, 1983. The contract covered the Hospital's Temple Center I, Temple Center II, Hilltop Canteen, Forrester, and Medical Center. This contract consists of the Department's acceptance of Petitioner's March 1, 1982 bid proposal, which proposal incorporated the bid specifications of the Department.*fn1 Pertinent parts of the contract are as follows:

VIII. D. This agreement may be cancelled by either party at any time, with or without cause, upon sixty days written notice.

XI. C. Contractor shall be paid for actual units of service provided.

XIII. Award will be made on an aggregate basis. If one or more buildings are taken out of service the dollar amount bid on each will be deducted from the contract price during the time they are out of service. If part of a building is taken out of service, the monthly charge for that building will be reduced by the percentage of square footage so removed. (Emphasis added.)

[ 116 Pa. Commw. Page 589]

The parties subsequently entered into two renewal contracts. The second renewal contract included the language: "Contractor [Petitioner] will be reimbursed only for services/material actually accepted by the Department."*fn2

On June 19, 1985, this renewal contract was amended to extend the contract for an additional three months. The amendment stated that Petitioner would provide custodial services for the Temple Center I, Center II, Hilltop Canteen, and Forrester buildings during the months of July, August, and September, 1985 at a contract price of $30,342.60. Of this ...


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